1.
Plan your exit when you start the business. Will you sell your company, pass it on to children, or take it public?
2.
Take time to understand how your chosen exit affects business planning. Will family members need to be trained to replace you, for example?
3.
Consider the cost of each strategy—loss of the ability to keep financial information private if you sell or go public, for example.
4.
Be aware that your investors will have their own exit strategies. Be prepared to discuss their desired timetable for exiting your business, how they see it happening and their expected return on investment.
5.
Plan well ahead for a satisfying life when you leave your current business. Consider starting another business, teaching, volunteering—or becoming a philanthropist.
Senin, 11 Mei 2009
5 Tips on Building a Sound Business Plan
1.
Write a business plan with a complete financial and marketing plan.
2.
Your marketing strategy should be built around your strengths, your competitor's weaknesses and your customers' desires.
3.
Test the reality of your business—know why it will work and how you will make it work. Think your business through step by step.
4.
Allow at least two hours every week for thinking and planning. Do not allow anything to interfere with this time. You run the business. Don't let it run you.
5.
Establish an annual operating plan. Review it and update it monthly with appropriate employees.
Write a business plan with a complete financial and marketing plan.
2.
Your marketing strategy should be built around your strengths, your competitor's weaknesses and your customers' desires.
3.
Test the reality of your business—know why it will work and how you will make it work. Think your business through step by step.
4.
Allow at least two hours every week for thinking and planning. Do not allow anything to interfere with this time. You run the business. Don't let it run you.
5.
Establish an annual operating plan. Review it and update it monthly with appropriate employees.
5 Tips on Budgeting
1.
Think of a budget as a useful tool—a written financial plan that helps you set goals and measure progress.
2.
Start by coming up with a sales revenue target. Make it your best estimate.
3.
Based on past experience, estimate your cost of goods sold (e.g., 70 percent of sales) and subtract it from the sales revenue to come up with your estimated gross margin.
4.
Forecast variable expenses (items such as travel and commissions that vary according to the level of sales) and fixed expenses (items like taxes and rent that stay the same, regardless of sales). Subtract these expenses from your gross margin to arrive at your estimated net income (before federal taxes).
5.
Break your annual budget into quarters and monitor your progress every three months to detect problems and make corrections.
source: www.source.org
Think of a budget as a useful tool—a written financial plan that helps you set goals and measure progress.
2.
Start by coming up with a sales revenue target. Make it your best estimate.
3.
Based on past experience, estimate your cost of goods sold (e.g., 70 percent of sales) and subtract it from the sales revenue to come up with your estimated gross margin.
4.
Forecast variable expenses (items such as travel and commissions that vary according to the level of sales) and fixed expenses (items like taxes and rent that stay the same, regardless of sales). Subtract these expenses from your gross margin to arrive at your estimated net income (before federal taxes).
5.
Break your annual budget into quarters and monitor your progress every three months to detect problems and make corrections.
source: www.source.org
5 Tips for Using Colleges and Universities to Help Your Business
1.
Volunteer your company to be a business school case study. You’ll learn much about your company in the process and get good ideas for the future.
2.
Obtain management and technical assistance from one of more than 50 Small Business Development Centers. Check the U.S. Small Business Administration web site at www.sba.gov for locations.
3.
Participate in special programs. Many colleges and universities sponsor venture capital forums, entrepreneurship centers and family business programs.
4.
Work with the business school to offer internships to graduate students.
5.
Find out what expertise is on a business school’s staff. You may find just the right person to hire as a consultant or serve on your board.
surce: www.score.org
Volunteer your company to be a business school case study. You’ll learn much about your company in the process and get good ideas for the future.
2.
Obtain management and technical assistance from one of more than 50 Small Business Development Centers. Check the U.S. Small Business Administration web site at www.sba.gov for locations.
3.
Participate in special programs. Many colleges and universities sponsor venture capital forums, entrepreneurship centers and family business programs.
4.
Work with the business school to offer internships to graduate students.
5.
Find out what expertise is on a business school’s staff. You may find just the right person to hire as a consultant or serve on your board.
surce: www.score.org
5 Tips for Developing Policies for Your Business
1.
Think ahead. Establish policies before you need them. Doing so helps avert crises and awkward situations, and helps solve problems before they arise.
2.
Determine what policies you need. Some you’ll want early in your business include a mission statement, as well as compensation, performance evaluation and employee policies.
3.
Get input from key employees, as well as from members of your advisory board, your board of directors, and/or your professional advisors and consultants.
4.
Communicate policies to everyone in your business.
5.
Review policies on a regular basis—once a year, for example—and revise them as necessary.
source:www.score.org
Think ahead. Establish policies before you need them. Doing so helps avert crises and awkward situations, and helps solve problems before they arise.
2.
Determine what policies you need. Some you’ll want early in your business include a mission statement, as well as compensation, performance evaluation and employee policies.
3.
Get input from key employees, as well as from members of your advisory board, your board of directors, and/or your professional advisors and consultants.
4.
Communicate policies to everyone in your business.
5.
Review policies on a regular basis—once a year, for example—and revise them as necessary.
source:www.score.org
Selasa, 17 Februari 2009
Looking for New Business Ideas
When looking around for business ideas, bear in mind that these could be based on any of the following approaches:
A manufactured product where you buy materials or parts and make up the product(s) yourself.
A distributed product where you buy product from a wholesaler/MLM, retailer, or manufacturer.
A service which you provide.
You should narrow your search to specific market or product areas as quickly as possible. For example, the "food business" is too broad a search area. Do you mean manufacturing, distribution or retailing, or do you mean fresh, frozen, pre-prepared etc. or do you mean beverages, sauces, confectionery etc.? It is better to pursue several specific ideas (hypotheses) rather than one diffuse concept which lacks specifics and proves impossible to research and evaluate. Generally, you should always aim for quality rather than cheapness. Be very cautious about pursuing ideas which involve any prospect of price wars or are very price sensitive; of getting sucked into short-lived fads; or of having to compete head-to-head with large, entrenched businesses.
To locate ideas, observe consumer behavior:
What do people/organizations buy ?
What do they want and cannot buy ?
What do they buy and don't like ?
Where do they buy, when and how ?
Why do they buy ?
What are they buying more of ?
What else might they need but cannot get ?
Also, look at changing existing products or services with a view to:
Making them larger/smaller, lighter/heavier, faster/slower
Changing their color, material or shape
Altering their quality or quantity
Increasing mobility, access, portability, disposability
Simplifying repair, maintenance, replacement, cleaning
Introducing automation, simplification, convenience
Adding new features, accessories, extensions
Changing the delivery method, packaging, unit size/shape
Improving usability, performance or safety
Broadening or narrowing the range
Improving the quality or service.
source:www.planware.org/businessplantips.htm
A manufactured product where you buy materials or parts and make up the product(s) yourself.
A distributed product where you buy product from a wholesaler/MLM, retailer, or manufacturer.
A service which you provide.
You should narrow your search to specific market or product areas as quickly as possible. For example, the "food business" is too broad a search area. Do you mean manufacturing, distribution or retailing, or do you mean fresh, frozen, pre-prepared etc. or do you mean beverages, sauces, confectionery etc.? It is better to pursue several specific ideas (hypotheses) rather than one diffuse concept which lacks specifics and proves impossible to research and evaluate. Generally, you should always aim for quality rather than cheapness. Be very cautious about pursuing ideas which involve any prospect of price wars or are very price sensitive; of getting sucked into short-lived fads; or of having to compete head-to-head with large, entrenched businesses.
To locate ideas, observe consumer behavior:
What do people/organizations buy ?
What do they want and cannot buy ?
What do they buy and don't like ?
Where do they buy, when and how ?
Why do they buy ?
What are they buying more of ?
What else might they need but cannot get ?
Also, look at changing existing products or services with a view to:
Making them larger/smaller, lighter/heavier, faster/slower
Changing their color, material or shape
Altering their quality or quantity
Increasing mobility, access, portability, disposability
Simplifying repair, maintenance, replacement, cleaning
Introducing automation, simplification, convenience
Adding new features, accessories, extensions
Changing the delivery method, packaging, unit size/shape
Improving usability, performance or safety
Broadening or narrowing the range
Improving the quality or service.
source:www.planware.org/businessplantips.htm
Before Starting to Write a Business Plan
Before any detailed work commences on writing a comprehensive business plan, you should:
Clearly define the target audience
Determine its requirements in relation to the contents and levels of detail
Map out the plan's structure (contents page)
Decide on the likely length of the plan
Identify all the main issues to be addressed.
Shortcomings in the concept and gaps in supporting evidence and proposals need to be clearly identified. This will facilitate an assessment of research to be undertaken before any drafting commences. Bear in mind that a business plan should be the end result of a careful and extensive research and development project which must be completed before any serious writing of a plan should be started. Under no circumstances should you start writing a plan before all the key issues have been crystallized and addressed.
For more tips and suggestions, check the white paper on Writing a Business Plan and Free-Plan our free 150-page Business Plan Guide and Template (Word format). Also, refer to the 30-point Checklist for Preparing a Business Plan.
source:www.planware.org/businessplantips.htm
Clearly define the target audience
Determine its requirements in relation to the contents and levels of detail
Map out the plan's structure (contents page)
Decide on the likely length of the plan
Identify all the main issues to be addressed.
Shortcomings in the concept and gaps in supporting evidence and proposals need to be clearly identified. This will facilitate an assessment of research to be undertaken before any drafting commences. Bear in mind that a business plan should be the end result of a careful and extensive research and development project which must be completed before any serious writing of a plan should be started. Under no circumstances should you start writing a plan before all the key issues have been crystallized and addressed.
For more tips and suggestions, check the white paper on Writing a Business Plan and Free-Plan our free 150-page Business Plan Guide and Template (Word format). Also, refer to the 30-point Checklist for Preparing a Business Plan.
source:www.planware.org/businessplantips.htm
How to Assess New Business Ideas
Having built up a moderate list of new business ideas, these must be evaluated so that a short-list of preferred options with the greatest potential and lowest risk can be assessed in greater depth.
One way of evaluating ideas would be to use a simple scoring system using gut-feel with a limited number of criteria such as personal fit, degree of risk, funding need and so on - see a comprehensive list of factors at Getting New Business Ideas.
Before scoring individual ideas, run through the criteria and set what you feel should be minimum desirable scores for each. The resultant total could be used as your overall minimum threshold. If some ideas don't achieve satisfactory scores, drop them and look for better ones.
Once your short-list has been developed, you will need to start devoting substantial time to assessment, research, development and planning. For a start, you could pursue the following tasks:
Discuss products/services with prospective customers
Assess the market using desk & field research
Analyze your competition
Consider possible start-up strategies
Set ball-park targets and prepare first-cut financial projections
Prepare a simple action plan
Critically examine ideas from all angles
For more insights into these tasks, see Getting New Business Ideas.
Bear in mind that the incubation period for a new business can easily last several months or even years. Don't rush into the first feasible idea without letting it incubate or develop in your mind for a reasonable period. There might be a tendency to get all fired up and enthusiastic such that your heart is starting to rule your head. Instead, stand back and think!! Do not be afraid to seek external assistance from professional advisers or from enterprise support organizations which are virtually everywhere. These include SBDCs in the US, Enterprise Agencies & Business Links in the UK, County Enterprise Boards in Ireland, EC BICs throughout the EU and so on...... For help with converting your preferred business idea into a business plan, see Getting New Business Ideas and Writing a Business Plan.
source:www.planware.org/businessplantips.htm
One way of evaluating ideas would be to use a simple scoring system using gut-feel with a limited number of criteria such as personal fit, degree of risk, funding need and so on - see a comprehensive list of factors at Getting New Business Ideas.
Before scoring individual ideas, run through the criteria and set what you feel should be minimum desirable scores for each. The resultant total could be used as your overall minimum threshold. If some ideas don't achieve satisfactory scores, drop them and look for better ones.
Once your short-list has been developed, you will need to start devoting substantial time to assessment, research, development and planning. For a start, you could pursue the following tasks:
Discuss products/services with prospective customers
Assess the market using desk & field research
Analyze your competition
Consider possible start-up strategies
Set ball-park targets and prepare first-cut financial projections
Prepare a simple action plan
Critically examine ideas from all angles
For more insights into these tasks, see Getting New Business Ideas.
Bear in mind that the incubation period for a new business can easily last several months or even years. Don't rush into the first feasible idea without letting it incubate or develop in your mind for a reasonable period. There might be a tendency to get all fired up and enthusiastic such that your heart is starting to rule your head. Instead, stand back and think!! Do not be afraid to seek external assistance from professional advisers or from enterprise support organizations which are virtually everywhere. These include SBDCs in the US, Enterprise Agencies & Business Links in the UK, County Enterprise Boards in Ireland, EC BICs throughout the EU and so on...... For help with converting your preferred business idea into a business plan, see Getting New Business Ideas and Writing a Business Plan.
source:www.planware.org/businessplantips.htm
Quotations to Inspire Better Business Planning
Here are some quotations to motivate and inspire the planning and development of your business:
Rise early, work hard, strike oil. (J Paul Getty)
The person who doesn't scatter the morning dew will not comb grey hairs (Irish proverb)
A chicken doesn't stop scratching just because worms are scarce (Grandma's Axiom)
A wise man turns chance into good fortune. (Thomas Fuller. Gnomologia, 1732)
A great fortune depends on luck, a small one on diligence. (Chinese proverb)
Luck is a dividend of sweat. The more you sweat, the luckier you get (Ray Kroc)
I'm a great believer in luck and I find the harder I work, the more I have of it. (Stephen Leacock)
Success is more attitude than aptitude. (Anonymous)
If, at first, you don't succeed, try again. (Proverb)
If, at first, you do succeed, try to hide your astonishment.(Los Angeles Times Syndicate)
There is nothing more difficult...than to take the lead in the introduction of a new order of things. (Niccolo Machiavelli)
If you want truly to understand something, try to change it. (Kurt Lewin)
Do not follow where the path may lead. Go instead where there is no path and leave a trail. (Ralph Waldo Emerson)
You cannot travel on the path until you become the path itself. (Gantana Bouddha)
There is no top. There are always further heights to reach. (Jascha Heifetz)
For the wise man looks into space and he knows there is no limited dimensions. (Lao-tse)
It is not best that we should all think alike; it is a difference of opinion that makes horse races. (Mark Twain)
It's not because things are difficult that we dare not venture. It's because we dare not venture that they are difficult. (Seneca)
It is a myth, not a mandate, a fable not a logic, and symbol rather than a reason by which men are moved. (Irwin Edman)
Great spirits have always encountered violent opposition from mediocre minds. (Albert Einstein)
Every wall is a door. (Ralph Waldo Emerson)
source:www.planware.org
Rise early, work hard, strike oil. (J Paul Getty)
The person who doesn't scatter the morning dew will not comb grey hairs (Irish proverb)
A chicken doesn't stop scratching just because worms are scarce (Grandma's Axiom)
A wise man turns chance into good fortune. (Thomas Fuller. Gnomologia, 1732)
A great fortune depends on luck, a small one on diligence. (Chinese proverb)
Luck is a dividend of sweat. The more you sweat, the luckier you get (Ray Kroc)
I'm a great believer in luck and I find the harder I work, the more I have of it. (Stephen Leacock)
Success is more attitude than aptitude. (Anonymous)
If, at first, you don't succeed, try again. (Proverb)
If, at first, you do succeed, try to hide your astonishment.(Los Angeles Times Syndicate)
There is nothing more difficult...than to take the lead in the introduction of a new order of things. (Niccolo Machiavelli)
If you want truly to understand something, try to change it. (Kurt Lewin)
Do not follow where the path may lead. Go instead where there is no path and leave a trail. (Ralph Waldo Emerson)
You cannot travel on the path until you become the path itself. (Gantana Bouddha)
There is no top. There are always further heights to reach. (Jascha Heifetz)
For the wise man looks into space and he knows there is no limited dimensions. (Lao-tse)
It is not best that we should all think alike; it is a difference of opinion that makes horse races. (Mark Twain)
It's not because things are difficult that we dare not venture. It's because we dare not venture that they are difficult. (Seneca)
It is a myth, not a mandate, a fable not a logic, and symbol rather than a reason by which men are moved. (Irwin Edman)
Great spirits have always encountered violent opposition from mediocre minds. (Albert Einstein)
Every wall is a door. (Ralph Waldo Emerson)
source:www.planware.org
Never Outsource your Business Plan
Here's the summary of a planning tip contributed by Intuitive Life: A Business Weblog by Dave Taylor:
A book I'm reading recommends that businesses consider outsourcing their business plan development because they'll "get a better business plan, faster, and at lower cost" than doing it in house. This is absolutely wrong-headed thinking: if you outsource your business plan process, your company will be more likely to fail, not less.
It's the process of creating the plan that's important not the end document. When you share your business plan with an investor or venture capital firm, they want to see something coherent and learn about a smart business, but just as importantly, they want to know that your team can sit in a room and hammer out a single, unified vision of your company, one that covers all the major bases, from marketing to defending your intellectual property, cost of sales analysis to partnership ideas. And yet, pop over to Google and you'll find hundreds of companies advertising that they'll write your business plan for you, that they'll "help you clarify your business goals" and that they'll "help you get funded with a rock-solid business plan." Reject these companies. All of them. The only part of business plan creation you can safely outsource is unbiased analysis. Once you're done with your plan, it can be a darn good idea for you to run it past a professional business startup consultant, because they can give you the investor's view of your plan. Expect to pay at least $1000 for this service.
It's really like a Zen Koan because the journey is the reward. If you think that having a beautiful printed business plan, perfect bound and with color illustrations is going to impress an investor more than one that your team has sweat over, fought over, and hammered out over time, you're wrong. It's the implementation, not the idea that investors are paying for: if you can't even own your business planning process, the odds of you getting your product out the door, executing on your plan and generating a return on investment are pretty darn low.
So here's some free advice from a serial entrepreneur and management consultant who's been there and read hundreds of business plans: write your own business plan. Fight your own fights with your partners, argue about sources of revenue, debate income projections, and force yourselves to figure out enough of Word and Excel to capture that moment of your company's life. Because business planning is all about process, not destination.
source:www.planware.org
A book I'm reading recommends that businesses consider outsourcing their business plan development because they'll "get a better business plan, faster, and at lower cost" than doing it in house. This is absolutely wrong-headed thinking: if you outsource your business plan process, your company will be more likely to fail, not less.
It's the process of creating the plan that's important not the end document. When you share your business plan with an investor or venture capital firm, they want to see something coherent and learn about a smart business, but just as importantly, they want to know that your team can sit in a room and hammer out a single, unified vision of your company, one that covers all the major bases, from marketing to defending your intellectual property, cost of sales analysis to partnership ideas. And yet, pop over to Google and you'll find hundreds of companies advertising that they'll write your business plan for you, that they'll "help you clarify your business goals" and that they'll "help you get funded with a rock-solid business plan." Reject these companies. All of them. The only part of business plan creation you can safely outsource is unbiased analysis. Once you're done with your plan, it can be a darn good idea for you to run it past a professional business startup consultant, because they can give you the investor's view of your plan. Expect to pay at least $1000 for this service.
It's really like a Zen Koan because the journey is the reward. If you think that having a beautiful printed business plan, perfect bound and with color illustrations is going to impress an investor more than one that your team has sweat over, fought over, and hammered out over time, you're wrong. It's the implementation, not the idea that investors are paying for: if you can't even own your business planning process, the odds of you getting your product out the door, executing on your plan and generating a return on investment are pretty darn low.
So here's some free advice from a serial entrepreneur and management consultant who's been there and read hundreds of business plans: write your own business plan. Fight your own fights with your partners, argue about sources of revenue, debate income projections, and force yourselves to figure out enough of Word and Excel to capture that moment of your company's life. Because business planning is all about process, not destination.
source:www.planware.org
SWOT before Planning your Business
A SWOT analysis is an assessment of the Strengths, Weaknesses, Opportunities and Threats facing a new or established business. It should always be conducted prior to the compilation of a detailed business plan. A realistic and unbiased SWOT analysis could form the basis for the strategies to be followed throughout the plan. A failure to determine SWOTs could result in a plan which is unclear, misguided and lacking focus and direction.
Strengths and weaknesses are essentially internal to the organization and relate to matters concerning resources, programs and organization in key areas.The objective is to build up a picture of the outstanding good and bad points, achievements and failures and other critical features within the company. If a startup is being planned, the strengths and weaknesses are related mainly to the promoter(s) - their experience, expertise and management abilities - rather than to the project.
The threats and opportunities are external to the company and relate to the industry and marketplace in which the business operates; changes or trends in competition, technologies and so on.
Once the SWOT review is complete, the future strategy may be readily apparent or, as is more likely the case, a series of strategies or combinations of tactics will suggest themselves. Use the SWOTs to help identify possible strategies as follows:Internal External
Build on strengths Exploit opportunities
Resolve weaknesses Avoid threats
If the business is seeking significant growth, it is important to fast-forward and assess SWOTs as they might exist a year or two hence. This will help ensure that strategies are ambitious and robust and that emerging issues are anticipated. Have a look at the discussion on SWOTs and related matters in Developing a Strategic Business Plan (and especially Sections 1.3 to 1.5).
The resulting strategies can then be filtered and moulded to form the basis of a realistic strategic plan - see Devising Business Strategies for further insights into the development of strategies and the free Online Strategic Planner for creating a 3-page strategic plan. Here is a sample strategic plan compiled using the planner. A plan along these lines should be incorporated into a business plan and it would, in effect, become the foundation for all the assessments, actions, projects and programs detailed throughout the plan.
source:www.planware.org
Strengths and weaknesses are essentially internal to the organization and relate to matters concerning resources, programs and organization in key areas.The objective is to build up a picture of the outstanding good and bad points, achievements and failures and other critical features within the company. If a startup is being planned, the strengths and weaknesses are related mainly to the promoter(s) - their experience, expertise and management abilities - rather than to the project.
The threats and opportunities are external to the company and relate to the industry and marketplace in which the business operates; changes or trends in competition, technologies and so on.
Once the SWOT review is complete, the future strategy may be readily apparent or, as is more likely the case, a series of strategies or combinations of tactics will suggest themselves. Use the SWOTs to help identify possible strategies as follows:Internal External
Build on strengths Exploit opportunities
Resolve weaknesses Avoid threats
If the business is seeking significant growth, it is important to fast-forward and assess SWOTs as they might exist a year or two hence. This will help ensure that strategies are ambitious and robust and that emerging issues are anticipated. Have a look at the discussion on SWOTs and related matters in Developing a Strategic Business Plan (and especially Sections 1.3 to 1.5).
The resulting strategies can then be filtered and moulded to form the basis of a realistic strategic plan - see Devising Business Strategies for further insights into the development of strategies and the free Online Strategic Planner for creating a 3-page strategic plan. Here is a sample strategic plan compiled using the planner. A plan along these lines should be incorporated into a business plan and it would, in effect, become the foundation for all the assessments, actions, projects and programs detailed throughout the plan.
source:www.planware.org
When Writing your Business Plan
Twelve things to do when writing your business plan:
1.Create a framework for the plan e.g. table of contents.
2.Identify possible appendices, attachments etc.
3.Estimate page lengths for each key section.
4.List main issues and topics to be covered within key sections.
5.Assign work programs based on the framework and lists.
6.Draft all key sections in a logical sequence.
7.Check the preliminary draft for completeness and plug gaps.
8.Stand back and take a detached overview of the draft.
9.Let an outsider or adviser critique the latest draft.
10.Redraft, fine tune and spell check.
11.Write the executive summary and plan's conclusion.
12.Get an independent assessment of the final draft.
source:www.planware.org/businessplantips.htm
1.Create a framework for the plan e.g. table of contents.
2.Identify possible appendices, attachments etc.
3.Estimate page lengths for each key section.
4.List main issues and topics to be covered within key sections.
5.Assign work programs based on the framework and lists.
6.Draft all key sections in a logical sequence.
7.Check the preliminary draft for completeness and plug gaps.
8.Stand back and take a detached overview of the draft.
9.Let an outsider or adviser critique the latest draft.
10.Redraft, fine tune and spell check.
11.Write the executive summary and plan's conclusion.
12.Get an independent assessment of the final draft.
source:www.planware.org/businessplantips.htm
Business Planning - Why you need a business plan
If ever there was a key skill you’ll need in your business – it’s planning.
You can still be your own boss if you’re not the most organised of people, but you’ll find it a very tough slog.
No matter how good or bad you are at forward planning, a solid business plan is arguably the most important business-related document you will ever create. It’s highly recommended for anyone starting a venture, as a way of ensuring you plan the kind of business you want to create.
If you’re going to need financial support from a bank, a private investor or you need to attract a business partner, it’s an absolute essential.
Your business plan need only be a few pages long, containing key information about the business. Don’t worry too much about the format; focus more on getting the information right and the correct message communicated.
Here’s a suggested list of contents:
1. Objectives: What do you want to achieve from your business? List key goals including a financial overview
2. Executive review: An overview of what the business will do and how. Include the legal structure, who will work in the business and what roles they will fulfill. Potential investors will use the information in this section to decide if the rest of the plan is worth looking at
3. Market analysis: How many businesses already offer this product or service, and where does your new venture sit in the marketplace?
4. Demand analysis: Who are your potential customers and how likely is it they will buy from you? Are you at the premium end, the budget end or somewhere in-between?
5. Environmental analysis: What impact will your venture have on the environment, and how can you minimise that?
7. Analysis of the competition: To launch a successful venture you need to offer something different. So work out what’s already out there and identify the gap that’s open to you.
8. Marketing strategy: Once you know the message you want to give out, show how you will do that. Don’t get into too much detail but give an overview of strategy
9. Success factors: What things must happen to make the business a success? Listing them in the business plan keeps them top of your awareness
11. Finances: List your likely costs and predicted revenue. This is normally done for three years. Remember most people underestimate costs and overestimate revenue
12. Conclusion: Sum up your business plan in a few sentences.
Remember that a busines plan should be a living document. It’s no good to you if you complete it and stick it on a shelf. Even when you are running your business, get in the habit of reviewing your plan at least once a quarter.
source:www.bytestart.co.uk
You can still be your own boss if you’re not the most organised of people, but you’ll find it a very tough slog.
No matter how good or bad you are at forward planning, a solid business plan is arguably the most important business-related document you will ever create. It’s highly recommended for anyone starting a venture, as a way of ensuring you plan the kind of business you want to create.
If you’re going to need financial support from a bank, a private investor or you need to attract a business partner, it’s an absolute essential.
Your business plan need only be a few pages long, containing key information about the business. Don’t worry too much about the format; focus more on getting the information right and the correct message communicated.
Here’s a suggested list of contents:
1. Objectives: What do you want to achieve from your business? List key goals including a financial overview
2. Executive review: An overview of what the business will do and how. Include the legal structure, who will work in the business and what roles they will fulfill. Potential investors will use the information in this section to decide if the rest of the plan is worth looking at
3. Market analysis: How many businesses already offer this product or service, and where does your new venture sit in the marketplace?
4. Demand analysis: Who are your potential customers and how likely is it they will buy from you? Are you at the premium end, the budget end or somewhere in-between?
5. Environmental analysis: What impact will your venture have on the environment, and how can you minimise that?
7. Analysis of the competition: To launch a successful venture you need to offer something different. So work out what’s already out there and identify the gap that’s open to you.
8. Marketing strategy: Once you know the message you want to give out, show how you will do that. Don’t get into too much detail but give an overview of strategy
9. Success factors: What things must happen to make the business a success? Listing them in the business plan keeps them top of your awareness
11. Finances: List your likely costs and predicted revenue. This is normally done for three years. Remember most people underestimate costs and overestimate revenue
12. Conclusion: Sum up your business plan in a few sentences.
Remember that a busines plan should be a living document. It’s no good to you if you complete it and stick it on a shelf. Even when you are running your business, get in the habit of reviewing your plan at least once a quarter.
source:www.bytestart.co.uk
Ten tips on how to start your own business
If you want your new solo business to flourish, it makes good sense to review these tips on how to start your own business.
As a soloist starting your own business today, you have the advantage of being able to learn from those who have gone before. The business success statistics are well known: a staggering 40% of all new businesses fail within the first 12 months. Within five years, more than 80% will have failed.
Here’s ten ideas on how to start your own business and avoid that fate.
1. Define your unique point of difference
Why will a customer come to you instead of anybody else? Are you better, more accurate, cheaper, more convenient, easy to install? Whatever your unique difference is, this is the question that, once answered, becomes the basis of all of your marketing messages.
2. A powerful vision
Why are you in business in the first place? What’s the inspirational dream that convinced you to go out on your own? There may be times when you doubt yourself, but if your vision is strong, it will be the thing that sees you through those times.
3. Repeatable, scalable systems
Any activity that occurs more than once in your business needs a system or process so it gets performed exactly the same way, every single time. This consistency means that you can handle extra volumes in the most efficient way, and that the customer gets the same experience (hopefully a great one!), every time they do business with you.
Tell us what you think: rate this article
4. Love the numbers
You may not be an accountant, but you must have an overwhelming interest in the numbers side of your business. You don’t have to create the reports - outsource by all means - but you definitely need to look at your cashflow, budget and profit and loss on a monthly basis. And if you don’t know what it all means, get your bookkeeper to sit with you each month and explain your financial position.
5. Always add value to the customer’s experience
No matter what service or product you provide, you can be guaranteed that someone out there is trying to do it differently, better, or cheaper than you are. You must consistently focus on adding great value to your customers – always try and delight them in some way. Then they’ll never feel inclined to take their business elsewhere.
6. Continually add to your skills and knowledge
A business can only grow as quickly as the person who owns it. Your investment in your own development is super important. When you learn new skills and come across new ideas, you apply them in your business which in turn drives evolution and innovation.
7. Plans
The purpose of planning is simply to work out how to spend your time, money and other resources effectively. Without considered plans you may find yourself spinning your wheels, jumping from one priority to the next, or simply being undecided. Plans allow you to:
prioritise activities
step back from the day to day issues and take a longer term view, and
anticipate problems before they arrive
8. Product innovation
All products have a defined life cycle. People’s needs change, and so must your products or services. Solo businesses have a tendency to retain unchanged products and services for too long. Be conscious of reframing, restructuring, or refreshing your offer on a regular basis.
9. Surround yourself with the right support
Successful business owners know what their skills are. They also know exactly what skills they don’t (and probably will never) have. Believe me, you are not ‘saving money’ by doing it all yourself, you are wasting time. Outsource those things that aren’t your specialty, and use that time to go and get some new business!
10. Stay close to your customers
The best people to give you feedback about how you are going are your customers. Successful soloists regularly ask their customers for feedback and ideas for improving what they do. And more importantly, they follow through on the feedback they get.
source:www.flyingsolo.com
As a soloist starting your own business today, you have the advantage of being able to learn from those who have gone before. The business success statistics are well known: a staggering 40% of all new businesses fail within the first 12 months. Within five years, more than 80% will have failed.
Here’s ten ideas on how to start your own business and avoid that fate.
1. Define your unique point of difference
Why will a customer come to you instead of anybody else? Are you better, more accurate, cheaper, more convenient, easy to install? Whatever your unique difference is, this is the question that, once answered, becomes the basis of all of your marketing messages.
2. A powerful vision
Why are you in business in the first place? What’s the inspirational dream that convinced you to go out on your own? There may be times when you doubt yourself, but if your vision is strong, it will be the thing that sees you through those times.
3. Repeatable, scalable systems
Any activity that occurs more than once in your business needs a system or process so it gets performed exactly the same way, every single time. This consistency means that you can handle extra volumes in the most efficient way, and that the customer gets the same experience (hopefully a great one!), every time they do business with you.
Tell us what you think: rate this article
4. Love the numbers
You may not be an accountant, but you must have an overwhelming interest in the numbers side of your business. You don’t have to create the reports - outsource by all means - but you definitely need to look at your cashflow, budget and profit and loss on a monthly basis. And if you don’t know what it all means, get your bookkeeper to sit with you each month and explain your financial position.
5. Always add value to the customer’s experience
No matter what service or product you provide, you can be guaranteed that someone out there is trying to do it differently, better, or cheaper than you are. You must consistently focus on adding great value to your customers – always try and delight them in some way. Then they’ll never feel inclined to take their business elsewhere.
6. Continually add to your skills and knowledge
A business can only grow as quickly as the person who owns it. Your investment in your own development is super important. When you learn new skills and come across new ideas, you apply them in your business which in turn drives evolution and innovation.
7. Plans
The purpose of planning is simply to work out how to spend your time, money and other resources effectively. Without considered plans you may find yourself spinning your wheels, jumping from one priority to the next, or simply being undecided. Plans allow you to:
prioritise activities
step back from the day to day issues and take a longer term view, and
anticipate problems before they arrive
8. Product innovation
All products have a defined life cycle. People’s needs change, and so must your products or services. Solo businesses have a tendency to retain unchanged products and services for too long. Be conscious of reframing, restructuring, or refreshing your offer on a regular basis.
9. Surround yourself with the right support
Successful business owners know what their skills are. They also know exactly what skills they don’t (and probably will never) have. Believe me, you are not ‘saving money’ by doing it all yourself, you are wasting time. Outsource those things that aren’t your specialty, and use that time to go and get some new business!
10. Stay close to your customers
The best people to give you feedback about how you are going are your customers. Successful soloists regularly ask their customers for feedback and ideas for improving what they do. And more importantly, they follow through on the feedback they get.
source:www.flyingsolo.com
Financing Your Business In 2009 by Joseph Lizio
There are many criteria that banks require in approving loans for businesses. What usually comes to mind first is credit, given today’s financial crisis. While credit is extremely important, there are many other factors in addition to credit scores that businesses must be aware of and account for when seeking capital for business growth. The following outlines a company’s ability to repay or service a new debt facility. Banks and other financial lenders will not just give you money because you think you need it; you have to be able to pay for it as well.
You must be able to repay your new debt – both the principle amount and the interest. Now, there are many structures to business debt like interest only (which I do not recommend), balloon payments, quarterly payments, etc. Still, you have to generate enough income from the business to service the payment amount. Further, not only do you have to generate enough money to pay the P & I, but you usually have to have a little bit more – usually 25% to 50%.
Why? This additional cushion provides the bank with assurance that your business could have a down period and still cover their payment.
Now to the numbers: To determine if your business could service a $100,000 business loan, begin with your net income. To this amount, add back depreciation (this is a non-cash accounting anomaly) and any and all interest payments that you already make and your taxes. This should be the net amount that your business has to cover your total debt service – this is essentially your earnings before interest, taxes, depreciation and amortization (EBITDA) or your actual cash profits from your operations.
For the remainder of this analysis, we will ignore taxes. The interest on your loan is an operating cost – meaning it reduces your taxable income. However, the principle portion that you pay comes straight out of your net income – after all other obligations are paid including local, state, and federal taxes. The reason we will ignore taxes is to make this analysis simple and demonstrate why banks and other financial lenders require higher debt service ratios.
At 8% for 48 monthly payments, a $100,000 loan would require a monthly service of $2,442 or $29,296 per year (straight amortization for simplicity purposes). Assuming that your business does not have any other debt, you would have to, at the least, earn this amount over and above all other business costs – over your EBITDA. However, most banks want to see a debt service ratio of 1:1.25x to 1:1.5x – meaning that you need to generate EBITDA between $3,053 and $3,663 per month in this case.
Should your business have other debt that is not being paid off with this new facility, add that amount to your debt service minimum payment above. You will then have to cover up to 1:1.5x all your debt obligations.
Further, banks do "what if" analysis on this debt service requirement. Take your operating profit (EBITDA) and reduce it by 10% and 20%. After these calculations, does this new income amount still cover the original payment amount of $2,442? If not, no loan. Again, banks want to ensure that your business could survive a down turn and still make its payment obligation to them.
Keep in mind that the above analysis is based on past financial (past results of your business). While the lender will make every attempt to forecast future projections, it does not significantly rely on expectations of what your business will or may do.
While this is a very basic analysis, I hope you get the gist of what banks look for when underwriting loans. Should your business not be able to meet these requirements, then negotiate a lower payment through interest reduction, loan amount reduction, or balloon payments or reevaluate your need for a loan. If you can’t pay for it, you don’t need it.
Additionally, there may be many other ways to finance your growing business. The most widely used for working capital loans and advances are accounts receivable financing (factoring), purchase order financing, and business cash advances. These types of facilities can help bridge the gap between cash outlay and revenue.
source:www.businessknowhow.com
You must be able to repay your new debt – both the principle amount and the interest. Now, there are many structures to business debt like interest only (which I do not recommend), balloon payments, quarterly payments, etc. Still, you have to generate enough income from the business to service the payment amount. Further, not only do you have to generate enough money to pay the P & I, but you usually have to have a little bit more – usually 25% to 50%.
Why? This additional cushion provides the bank with assurance that your business could have a down period and still cover their payment.
Now to the numbers: To determine if your business could service a $100,000 business loan, begin with your net income. To this amount, add back depreciation (this is a non-cash accounting anomaly) and any and all interest payments that you already make and your taxes. This should be the net amount that your business has to cover your total debt service – this is essentially your earnings before interest, taxes, depreciation and amortization (EBITDA) or your actual cash profits from your operations.
For the remainder of this analysis, we will ignore taxes. The interest on your loan is an operating cost – meaning it reduces your taxable income. However, the principle portion that you pay comes straight out of your net income – after all other obligations are paid including local, state, and federal taxes. The reason we will ignore taxes is to make this analysis simple and demonstrate why banks and other financial lenders require higher debt service ratios.
At 8% for 48 monthly payments, a $100,000 loan would require a monthly service of $2,442 or $29,296 per year (straight amortization for simplicity purposes). Assuming that your business does not have any other debt, you would have to, at the least, earn this amount over and above all other business costs – over your EBITDA. However, most banks want to see a debt service ratio of 1:1.25x to 1:1.5x – meaning that you need to generate EBITDA between $3,053 and $3,663 per month in this case.
Should your business have other debt that is not being paid off with this new facility, add that amount to your debt service minimum payment above. You will then have to cover up to 1:1.5x all your debt obligations.
Further, banks do "what if" analysis on this debt service requirement. Take your operating profit (EBITDA) and reduce it by 10% and 20%. After these calculations, does this new income amount still cover the original payment amount of $2,442? If not, no loan. Again, banks want to ensure that your business could survive a down turn and still make its payment obligation to them.
Keep in mind that the above analysis is based on past financial (past results of your business). While the lender will make every attempt to forecast future projections, it does not significantly rely on expectations of what your business will or may do.
While this is a very basic analysis, I hope you get the gist of what banks look for when underwriting loans. Should your business not be able to meet these requirements, then negotiate a lower payment through interest reduction, loan amount reduction, or balloon payments or reevaluate your need for a loan. If you can’t pay for it, you don’t need it.
Additionally, there may be many other ways to finance your growing business. The most widely used for working capital loans and advances are accounts receivable financing (factoring), purchase order financing, and business cash advances. These types of facilities can help bridge the gap between cash outlay and revenue.
source:www.businessknowhow.com
Senin, 16 Februari 2009
Sources of Capital for New, Start-up Businesses by Joseph Lizio
As the economy continues to face credit challenges, small businesses, especially new, start-up companies are finding it even more difficult to find the capital they need to take their ideas and concepts and turn them into viable businesses.
Private equity firms and angel groups are no longer actively seeking new investments. They are more concerned with preserving and protecting their current portfolios. Further, private investors, like your neighbor or local doctors, accounts, lawyers, are not investing in local companies as their investments and retirement portfolios (usually the main source of their investment capital) have taken such large hits that any new investments are just out of the question.
Bootstrapping, by far the greatest source of capital for new businesses, is drying up fast. Credit card issuers and backers are pulling programs, tightening approvals and reducing limits. Friends and families are struggling just to survive themselves and do not have the disposable income to investment in your company.
Taking loans from retirement accounts are nearly impossible today as the market values of these assets have drop so dramatically over the last two quarters. There just isn’t the value there to take a loan against.
SBA backed loans remain just a difficult and costly to obtain as always. These loans still need to be underwritten by traditional lenders who are not making any loans at all as well as be underwritten by the SBA who has followed the banks’ course in tightening standards.
So, what are new, small businesses to do?
A few suggestions are as follows:
First, start smaller and work your way up. Small scale operations mean smaller capital needs. Thus, the small amount of capital a new entrepreneur does have (savings, home equity, retirement plans) can be used to jump start a business if it is designed on a smaller scale.
Micro-Loans: Micro-loans are loans for small organizations or start-up companies that do not qualify for regular loan facilities. These loans usually range from $500 to $25,000 and take up to five weeks for approval and funding.
Personal Loans: There are still a few companies that make personal loans from $10,000 to $100,000 provided the borrower has excellent (and I mean excellent) credit and a demonstrated ability to make the loan payments.
Asset Based Facilities: If your business has some proven track record, even if it is just for a few months, and has generated some financial assets like accounts receivables or credit card receipts, you may qualify for capital against those assets.
Account Receivable Factoring can help speed up your cash flow while you wait for your customers to pay you. You can then access working capital that can be used to generate new business, cover current liabilities obligations, or make payroll. There are companies that will factor receivables as low as $200.
Included with Accounts Receivable Factoring is Purchase Order Financing. If your business has an order to be filled but does not have the money to complete the order (e.g. buy supplies or equipment or hire needed labor) Purchase Order financiers will provide the funds needed based on that order.
Business Cash Advances, while not really a loan, can provide working capital against FUTURE credit card sales. The funds can be use for any purpose and could provide the capital your business needs to get it through these troubled times.
Equipment: Do you own some equipment outright? If so, you can sale that equipment (including tools and machinery) to a leasing company. Then, lease the equipment back from the lessor. You get the cash you need now and still benefit from possible tax deductions of the lease payments and other costs.
Where there is a will, there is always a way. These may not be the cheapest financial products in the market but for most business owners and start-ups, these may be the only option.
When seeking capital in this market, try to keep in mind that it is only temporary. The markets will turn around and lending standard will loosen. So, what you seek now should only suffice enough to get your new, start-up business through this down period.
Copyright 2009 - BusinessMoneyToday.com
Joseph Lizio holds and MBA in Finance and Entrepreneurship and has a strong commercial lending background. In his current venture, Mr. Lizio is the founder of www.businessmoneytoday.com - a site designed to help business owners find and obtain capital to grow their businesses.
source: www.businessknowhow.com
Private equity firms and angel groups are no longer actively seeking new investments. They are more concerned with preserving and protecting their current portfolios. Further, private investors, like your neighbor or local doctors, accounts, lawyers, are not investing in local companies as their investments and retirement portfolios (usually the main source of their investment capital) have taken such large hits that any new investments are just out of the question.
Bootstrapping, by far the greatest source of capital for new businesses, is drying up fast. Credit card issuers and backers are pulling programs, tightening approvals and reducing limits. Friends and families are struggling just to survive themselves and do not have the disposable income to investment in your company.
Taking loans from retirement accounts are nearly impossible today as the market values of these assets have drop so dramatically over the last two quarters. There just isn’t the value there to take a loan against.
SBA backed loans remain just a difficult and costly to obtain as always. These loans still need to be underwritten by traditional lenders who are not making any loans at all as well as be underwritten by the SBA who has followed the banks’ course in tightening standards.
So, what are new, small businesses to do?
A few suggestions are as follows:
First, start smaller and work your way up. Small scale operations mean smaller capital needs. Thus, the small amount of capital a new entrepreneur does have (savings, home equity, retirement plans) can be used to jump start a business if it is designed on a smaller scale.
Micro-Loans: Micro-loans are loans for small organizations or start-up companies that do not qualify for regular loan facilities. These loans usually range from $500 to $25,000 and take up to five weeks for approval and funding.
Personal Loans: There are still a few companies that make personal loans from $10,000 to $100,000 provided the borrower has excellent (and I mean excellent) credit and a demonstrated ability to make the loan payments.
Asset Based Facilities: If your business has some proven track record, even if it is just for a few months, and has generated some financial assets like accounts receivables or credit card receipts, you may qualify for capital against those assets.
Account Receivable Factoring can help speed up your cash flow while you wait for your customers to pay you. You can then access working capital that can be used to generate new business, cover current liabilities obligations, or make payroll. There are companies that will factor receivables as low as $200.
Included with Accounts Receivable Factoring is Purchase Order Financing. If your business has an order to be filled but does not have the money to complete the order (e.g. buy supplies or equipment or hire needed labor) Purchase Order financiers will provide the funds needed based on that order.
Business Cash Advances, while not really a loan, can provide working capital against FUTURE credit card sales. The funds can be use for any purpose and could provide the capital your business needs to get it through these troubled times.
Equipment: Do you own some equipment outright? If so, you can sale that equipment (including tools and machinery) to a leasing company. Then, lease the equipment back from the lessor. You get the cash you need now and still benefit from possible tax deductions of the lease payments and other costs.
Where there is a will, there is always a way. These may not be the cheapest financial products in the market but for most business owners and start-ups, these may be the only option.
When seeking capital in this market, try to keep in mind that it is only temporary. The markets will turn around and lending standard will loosen. So, what you seek now should only suffice enough to get your new, start-up business through this down period.
Copyright 2009 - BusinessMoneyToday.com
Joseph Lizio holds and MBA in Finance and Entrepreneurship and has a strong commercial lending background. In his current venture, Mr. Lizio is the founder of www.businessmoneytoday.com - a site designed to help business owners find and obtain capital to grow their businesses.
source: www.businessknowhow.com
Senin, 09 Februari 2009
Simple Startup Tips
When going into business for yourself start out simple. In most states, the first step to starting your business is simply to register in your county for a fictitious business name, also called a “dba” (for “doing business as”) registration. This is very common. If you want to be “Dawn’s Design” or “Acme Furniture” or “Joe’s Diner,” or whatever, the registration makes you a legal business.
I did this in California a couple of times for $35 a pop, and once in Oregon, more recently, for $25. Normally you go to the county seat and establish that nobody else is using the name, then register it. In most states you will have to do a legal advertisement too, but they have forms in the registration office and local papers make this easy. Then, you go to your bank and take out a bank account with the new name, and you’re in business.
You may also need a business license, this would depend on local laws. Some areas require it, some don’t. Most don’t, actually.
If you will be running your business from your home the laws depend on the city rules, normally, zoning laws, and local licensing requirements. You could call your town hall or the chamber of commerce to ask. When I ran a home office business in Palo Alto in the early 1980s, you were not allowed to put a sign outside your house or take commercial deliveries. Otherwise, the city didn’t care.
As you look at these details, the best source of real help at an affordable cost is your local Small Business Development Center (SBDC). These are funded by federal, state, and local funds, and there are almost 1,000 of them throughout the country. They vary by state, but I know New Hampshire has an excellent program. Definitely one of the better ones.
Because SBDCs are publicly funded, they tend to offer business counseling for relatively low rates. I recommend them highly. You can find a list of SBDCs at our website.
source: http://articles.bplans.com/business-articles
I did this in California a couple of times for $35 a pop, and once in Oregon, more recently, for $25. Normally you go to the county seat and establish that nobody else is using the name, then register it. In most states you will have to do a legal advertisement too, but they have forms in the registration office and local papers make this easy. Then, you go to your bank and take out a bank account with the new name, and you’re in business.
You may also need a business license, this would depend on local laws. Some areas require it, some don’t. Most don’t, actually.
If you will be running your business from your home the laws depend on the city rules, normally, zoning laws, and local licensing requirements. You could call your town hall or the chamber of commerce to ask. When I ran a home office business in Palo Alto in the early 1980s, you were not allowed to put a sign outside your house or take commercial deliveries. Otherwise, the city didn’t care.
As you look at these details, the best source of real help at an affordable cost is your local Small Business Development Center (SBDC). These are funded by federal, state, and local funds, and there are almost 1,000 of them throughout the country. They vary by state, but I know New Hampshire has an excellent program. Definitely one of the better ones.
Because SBDCs are publicly funded, they tend to offer business counseling for relatively low rates. I recommend them highly. You can find a list of SBDCs at our website.
source: http://articles.bplans.com/business-articles
Understanding Cyberspace Threats
SQL injection. Drive-by downloads. Social engineering. Rootkits. Malware. Rogueware. To the busy small business owner these words and phrases might sound like gibberish, but they're actually terms that describe some of the more destructive security risks lurking in cyberspace today. Since the first step in helping prevent harmful hacker attacks to your company computers is getting up to speed with the ever-evolving threat landscape, here's a brief overview:
Malware. Short for malicious software, it includes all forms of computer viruses, worms, Trojan horses, rootkits, spyware, dishonest adware, crimeware, and other malicious and unwanted software. When you see the word "malware" in a news story or threat report, keep in mind that it covers a variety of forms of hostile, intrusive, or annoying software or program code.
Rootkits. Popularized by the Sony digital-rights management case, a rootkit is a form of malware that allows an attacker to maintain a stealthy presence on an infected computer. Rootkits are typically used in spyware and other programs to avoid detection and allow another piece of malware to monitor traffic and keyboard strokes. A rootkit is considered the most insidious form of malware.
SQL injection. SQL injection is an attack technique used by hackers to insert malicious code into the database layer of a Web application. These types of attacks are typically used to plant harmful code into hacked Web sites and use that code to launch drive-by-downloads against end users.
Drive-by downloading. Drive-by downloading is a catch-all name for malware that gets installed on a computer when a user simply surfs to a (maliciously rigged) Web site. Over the past year, there has been a dramatic surge in these types of attacks where a hacker uses SQL injection to infect legitimate Web sites for use in drive-by download attacks. The exploits used in these types of attacks typically target unpatched vulnerabilities in desktop applications, so the best defense for this is to adopt safe browsing habits and ensure that all installed software programs are fully updated.
Rogueware, fraudware, or scareware. These are types of malware that attempt to trick computer users into buying useless and dangerous software. They typically generate a legitimate-looking pop-up warning that purports to be antivirus or antispyware software or a registry cleaner. These are fake warnings that claim the computer is infected with a large number of viruses and point the user to a Web site to pay for a virus cleaner. Rogueware/fraudware/scareware is such a big problem that Microsoft recently added removal detections for this class of attack and removed fake security software programs from 994,061 distinct machines, most in the U.S. and Europe.
source: http://www.businessweek.com/smallbiz/tips/
Malware. Short for malicious software, it includes all forms of computer viruses, worms, Trojan horses, rootkits, spyware, dishonest adware, crimeware, and other malicious and unwanted software. When you see the word "malware" in a news story or threat report, keep in mind that it covers a variety of forms of hostile, intrusive, or annoying software or program code.
Rootkits. Popularized by the Sony digital-rights management case, a rootkit is a form of malware that allows an attacker to maintain a stealthy presence on an infected computer. Rootkits are typically used in spyware and other programs to avoid detection and allow another piece of malware to monitor traffic and keyboard strokes. A rootkit is considered the most insidious form of malware.
SQL injection. SQL injection is an attack technique used by hackers to insert malicious code into the database layer of a Web application. These types of attacks are typically used to plant harmful code into hacked Web sites and use that code to launch drive-by-downloads against end users.
Drive-by downloading. Drive-by downloading is a catch-all name for malware that gets installed on a computer when a user simply surfs to a (maliciously rigged) Web site. Over the past year, there has been a dramatic surge in these types of attacks where a hacker uses SQL injection to infect legitimate Web sites for use in drive-by download attacks. The exploits used in these types of attacks typically target unpatched vulnerabilities in desktop applications, so the best defense for this is to adopt safe browsing habits and ensure that all installed software programs are fully updated.
Rogueware, fraudware, or scareware. These are types of malware that attempt to trick computer users into buying useless and dangerous software. They typically generate a legitimate-looking pop-up warning that purports to be antivirus or antispyware software or a registry cleaner. These are fake warnings that claim the computer is infected with a large number of viruses and point the user to a Web site to pay for a virus cleaner. Rogueware/fraudware/scareware is such a big problem that Microsoft recently added removal detections for this class of attack and removed fake security software programs from 994,061 distinct machines, most in the U.S. and Europe.
source: http://www.businessweek.com/smallbiz/tips/
Putting a Computer Security Policy in Place
A friend of mine setting up an online printing operation e-mailed me a few weeks ago to ask for advice on setting up formal computer security policies to keep his business safe from intrusion. We went back and forth on the obvious ones—keep antivirus subscriptions current; enable a properly configured firewall; block access to the darker parts on the Internet.
The more we e-mailed, it became clear to both of us that it's a real predicament for startups that do business on the Internet to ever be safe from hacker attacks. The nature of Web-based threats, drive-by malware downloads, and clever social engineering attacks make it nearly impossible to be fully secure. Having acknowledged that, we narrowed down some must-do items that could help to minimize exposure to risk.
• Invest in anti-malware protection and make sure signature databases are current. When evaluating security software, ask about approaches to "whitelisting" (application control), "behavior blocking," and the use of "herd-intelligence."
• Stay on top of high-priority patches for Web server and desktop software programs. Be vigilant about software that gets installed on employee computers and stay away from programs without auto-update mechanisms. Pay special attention to patching known vulnerabilities in applications that are constant hacker targets. Some examples include Adobe PDF, Adobe Flash Player, Apple QuickTime, RealPlayer, and WinZip.
• Diversify browser usage and make it a policy for employees to use certain browsers for certain sensitive transactions. Microsoft's Internet Explorer, a popular target for hackers, should be avoided for high-value transactions.
• Adopt strong password policies. A strong password should be between 8 and 20 characters and must combine random upper- and lower-case letters, numbers and symbols. The longer and more complex your password is, the harder it is to crack using dictionary-based hacking tools.
source:http://www.businessweek.com/smallbiz/tips/
The more we e-mailed, it became clear to both of us that it's a real predicament for startups that do business on the Internet to ever be safe from hacker attacks. The nature of Web-based threats, drive-by malware downloads, and clever social engineering attacks make it nearly impossible to be fully secure. Having acknowledged that, we narrowed down some must-do items that could help to minimize exposure to risk.
• Invest in anti-malware protection and make sure signature databases are current. When evaluating security software, ask about approaches to "whitelisting" (application control), "behavior blocking," and the use of "herd-intelligence."
• Stay on top of high-priority patches for Web server and desktop software programs. Be vigilant about software that gets installed on employee computers and stay away from programs without auto-update mechanisms. Pay special attention to patching known vulnerabilities in applications that are constant hacker targets. Some examples include Adobe PDF, Adobe Flash Player, Apple QuickTime, RealPlayer, and WinZip.
• Diversify browser usage and make it a policy for employees to use certain browsers for certain sensitive transactions. Microsoft's Internet Explorer, a popular target for hackers, should be avoided for high-value transactions.
• Adopt strong password policies. A strong password should be between 8 and 20 characters and must combine random upper- and lower-case letters, numbers and symbols. The longer and more complex your password is, the harder it is to crack using dictionary-based hacking tools.
source:http://www.businessweek.com/smallbiz/tips/
Rabu, 21 Januari 2009
The Samurai Executive: Ancient Warrior Tips for Business Success Today
Many senior executives, CEOs, and managers have grown jaded over the past 20 years. In their search for a measurable way to accelerate performance, they’ve worked with their umpteenth consultant, and they’ve studied and tried to adopt the umpteenth Next Big Thing organizational theory, knowing even as they do that it lacks the meaning and depth they seek and will fade out of style in a year or two, just like the others before it.
Those who have learned of samurai principles, however, use ancient leadership techniques rather than following the latest fashionable trends in management theory. The ancient samurai ideas have been proven to be more substantial and more effective than reading any of the 35,000 new management books published annually. These ancient techniques may surprise you with their relevance in today’s business world; they simply deal more authentically with real organizational issues than pop theories do.
The samurai warrior functions as an excellent metaphor for leaders throughout the millennia. Unlike some other great leaders and leadership methodologies, the samurai system was well-documented and they were able to survive as an organization for a very long time. Until they were overwhelmed by technology and Western influence, they were able to repel every invader with their timeless, culture-crossing techniques.
As a leader in your organization, consider the following ancient leadership truths. Implementing them could help you lead organizational change, develop strategy, and create and manage great teams.
Death: Weak management teams are those that are not taught how to “die” properly. You needn’t literally commit suicide or start taking out your colleagues in the name of organizational improvement, but consider this: Few people who’ve lived through a heart attack or other serious illness continue to invest their energies in office politics when they recover. Just the prospect of physical death is transformative, pulling back a curtain to bring attention to what truly matters. Everything unimportant falls away.
In modern management, when people have been taught to “die” properly, they execute their work more bravely and are less consumed by the distractions of political infighting and other typical cultural implosions. To train your managers for death, you must all first look at the ugly realities of your culture. What is not being said? What is it in your organization that needs to die in order for it to move forward? Together, the group must bring into the open whatever is old and dysfunctional: misbehavior, pet projects, turf wars, hidden agendas, backstabbing, and so forth. With the ugly stuff exposed, you and your team can begin the journey to find out how committed the group is to “commit suicide” to those ego-driven agendas and create a new destination.
Bravery: Bravery is essential, not only on the battlefield, but also in communication. A lot of training and coaching fails to challenge executives on this idea; as such, many fail, even losing the company, because their people withhold difficult truths or spin reality for the boss’ sake. By the time the CEO gets crucial information, it may have been so politically sanitized that there’s no content left, and no one’s brave enough to stand up and say, “No, here’s what’s really going on.” Weak CEOs might even fire or threaten those who bravely stand up and speak the truth if it doesn’t line up with what they want to hear, thereby creating an environment that perpetuates weakness. Good CEOs, however, want to know, because even if they don’t like hearing the truth, they know it’s more dangerous not to know, so they seek out those people who will give them straight answers.
If you lead by example, you should be able to instill bravery in your people by admitting what you don’t know and encouraging your people to support you. Let them know that you expect the truth and reward those who exhibit bravery by taking risks. After awhile, when people see that there are no ill consequences for saying something that would have remained unspoken before, they become braver and more accountable.
Honor: Few CEOs evaluate a candidate’s capacity for honor when they hire, but they should. If integrity is not fostered, dishonor can flourish in an organization’s culture, ending with subpoenas, handcuffs, bankruptcies, and furious stockholders. Dishonor prevails when leadership shuts people down instead of making them accountable for policies, or micromanages instead of leading an empowered, open, and honest culture.
When leaders who lack integrity get data back that shows they’re not leading well, the honorable reaction of “What do I have to do to change and get better?” is rare. Instead, a leader without honor will question the data or the data takers, too out of touch to realize that he or she is the problem. When leaders set a dishonorable example, it isn’t long before their people start seeing that and a single bad idea begins to affect the entire executive team. From Watergate to WorldCom, there are too many modern examples of what happens when leaders create an environment that lacks honor.
Leaders who embrace the ancient samurai truth of honor live their values, not confining them to a coffee cup slogan or the company brochure. And if those values are violated, their sense of dishonor leads them to either leave the organization or take action to fix the problem. They simply do what they say and say what they do.
Life Balance: The samurai were taught to explore the world beyond battle and business, studying arts as diverse as poetry, painting, and horticulture to achieve balance in their lives. Only those with this balance were considered effective leaders, strategists, and warriors. In our world, you rarely find executives who have the time and discipline necessary to pursue other interests that have nothing to do with their work. If you can make the time, though, you’ll learn, as the samurai did, that you are inspired to new levels of innovation and creativity. The balance extends to the approach you take to the issues and challenges you face in business. You will align the power of the arts with the art of power.
Follow the way of the warrior to business success: These ancient samurai truths are much more than merely good ideas that worked for warriors 12 centuries ago. They are proven to have worked, not just over the past two years in a bestseller, but for the past 1200 years. Although today we know that the truths have a substantial scientific basis in anthropology and evolutionary genetics, these arts were lost because our culture’s beliefs and physics changed with time. But an ever-deeper exploration of the history of humanity teaches us that some truths are unchanging. And, bottom line, organizations that adopt the samurai techniques see their leadership development and their culture changes go from a 70-100% failure rate to an over 90% success rate. Shouldn’t your organization be one of these samurai success stories?
source:www.myarticlearchive.com
Those who have learned of samurai principles, however, use ancient leadership techniques rather than following the latest fashionable trends in management theory. The ancient samurai ideas have been proven to be more substantial and more effective than reading any of the 35,000 new management books published annually. These ancient techniques may surprise you with their relevance in today’s business world; they simply deal more authentically with real organizational issues than pop theories do.
The samurai warrior functions as an excellent metaphor for leaders throughout the millennia. Unlike some other great leaders and leadership methodologies, the samurai system was well-documented and they were able to survive as an organization for a very long time. Until they were overwhelmed by technology and Western influence, they were able to repel every invader with their timeless, culture-crossing techniques.
As a leader in your organization, consider the following ancient leadership truths. Implementing them could help you lead organizational change, develop strategy, and create and manage great teams.
Death: Weak management teams are those that are not taught how to “die” properly. You needn’t literally commit suicide or start taking out your colleagues in the name of organizational improvement, but consider this: Few people who’ve lived through a heart attack or other serious illness continue to invest their energies in office politics when they recover. Just the prospect of physical death is transformative, pulling back a curtain to bring attention to what truly matters. Everything unimportant falls away.
In modern management, when people have been taught to “die” properly, they execute their work more bravely and are less consumed by the distractions of political infighting and other typical cultural implosions. To train your managers for death, you must all first look at the ugly realities of your culture. What is not being said? What is it in your organization that needs to die in order for it to move forward? Together, the group must bring into the open whatever is old and dysfunctional: misbehavior, pet projects, turf wars, hidden agendas, backstabbing, and so forth. With the ugly stuff exposed, you and your team can begin the journey to find out how committed the group is to “commit suicide” to those ego-driven agendas and create a new destination.
Bravery: Bravery is essential, not only on the battlefield, but also in communication. A lot of training and coaching fails to challenge executives on this idea; as such, many fail, even losing the company, because their people withhold difficult truths or spin reality for the boss’ sake. By the time the CEO gets crucial information, it may have been so politically sanitized that there’s no content left, and no one’s brave enough to stand up and say, “No, here’s what’s really going on.” Weak CEOs might even fire or threaten those who bravely stand up and speak the truth if it doesn’t line up with what they want to hear, thereby creating an environment that perpetuates weakness. Good CEOs, however, want to know, because even if they don’t like hearing the truth, they know it’s more dangerous not to know, so they seek out those people who will give them straight answers.
If you lead by example, you should be able to instill bravery in your people by admitting what you don’t know and encouraging your people to support you. Let them know that you expect the truth and reward those who exhibit bravery by taking risks. After awhile, when people see that there are no ill consequences for saying something that would have remained unspoken before, they become braver and more accountable.
Honor: Few CEOs evaluate a candidate’s capacity for honor when they hire, but they should. If integrity is not fostered, dishonor can flourish in an organization’s culture, ending with subpoenas, handcuffs, bankruptcies, and furious stockholders. Dishonor prevails when leadership shuts people down instead of making them accountable for policies, or micromanages instead of leading an empowered, open, and honest culture.
When leaders who lack integrity get data back that shows they’re not leading well, the honorable reaction of “What do I have to do to change and get better?” is rare. Instead, a leader without honor will question the data or the data takers, too out of touch to realize that he or she is the problem. When leaders set a dishonorable example, it isn’t long before their people start seeing that and a single bad idea begins to affect the entire executive team. From Watergate to WorldCom, there are too many modern examples of what happens when leaders create an environment that lacks honor.
Leaders who embrace the ancient samurai truth of honor live their values, not confining them to a coffee cup slogan or the company brochure. And if those values are violated, their sense of dishonor leads them to either leave the organization or take action to fix the problem. They simply do what they say and say what they do.
Life Balance: The samurai were taught to explore the world beyond battle and business, studying arts as diverse as poetry, painting, and horticulture to achieve balance in their lives. Only those with this balance were considered effective leaders, strategists, and warriors. In our world, you rarely find executives who have the time and discipline necessary to pursue other interests that have nothing to do with their work. If you can make the time, though, you’ll learn, as the samurai did, that you are inspired to new levels of innovation and creativity. The balance extends to the approach you take to the issues and challenges you face in business. You will align the power of the arts with the art of power.
Follow the way of the warrior to business success: These ancient samurai truths are much more than merely good ideas that worked for warriors 12 centuries ago. They are proven to have worked, not just over the past two years in a bestseller, but for the past 1200 years. Although today we know that the truths have a substantial scientific basis in anthropology and evolutionary genetics, these arts were lost because our culture’s beliefs and physics changed with time. But an ever-deeper exploration of the history of humanity teaches us that some truths are unchanging. And, bottom line, organizations that adopt the samurai techniques see their leadership development and their culture changes go from a 70-100% failure rate to an over 90% success rate. Shouldn’t your organization be one of these samurai success stories?
source:www.myarticlearchive.com
Don't Overlook Search Engine Marketing Fundamentals
If you are looking to get more from your search engine marketing investment, take the time to evaluate and fine-tune your campaigns. You may have overlooked some fundamental tactics that can measurably improve your results. Here are a few to get you started.
Tactic 1: Expand your keyword list.
Brainstorming an intuitive set of keywords related to your products or services is the best way to start your campaign. You can easily expand your intuitive list by using the search engine's keyword tool or other tools available on the Internet like Wordtracker, HitWise, and Keyword Discovery. Bid on as many relevant keywords as you can. Expanding your keyword bidding list will allow you to get more traffic for less if you bid on less popular yet relevant keywords.
Tactic 2: Promote specific products or product categories separately.
Search engines like Google and Yahoo allow you to create several ad groups inside your campaign. This also allows you to use specific keywords and ad copy targeted to each product or category you want to promote. Each click-through should direct your visitor to the specific product you are promoting. You'll find out that you can get higher click-through rates when your ads contain the specific keywords you are targeting in an ad group. You may also find that smaller, more targeted keyword groups are easier to manage.
Tactic 3: Advertise locally.
If your business is focused on a particular geographic area, use keyword terms such as city, state, or metro area to attract those searching for nearby providers. You may find out that adding a particular location to your list of keywords can turn out to be less expensive and bring you more targeted customers.
source:www.businessweek.com
Tactic 1: Expand your keyword list.
Brainstorming an intuitive set of keywords related to your products or services is the best way to start your campaign. You can easily expand your intuitive list by using the search engine's keyword tool or other tools available on the Internet like Wordtracker, HitWise, and Keyword Discovery. Bid on as many relevant keywords as you can. Expanding your keyword bidding list will allow you to get more traffic for less if you bid on less popular yet relevant keywords.
Tactic 2: Promote specific products or product categories separately.
Search engines like Google and Yahoo allow you to create several ad groups inside your campaign. This also allows you to use specific keywords and ad copy targeted to each product or category you want to promote. Each click-through should direct your visitor to the specific product you are promoting. You'll find out that you can get higher click-through rates when your ads contain the specific keywords you are targeting in an ad group. You may also find that smaller, more targeted keyword groups are easier to manage.
Tactic 3: Advertise locally.
If your business is focused on a particular geographic area, use keyword terms such as city, state, or metro area to attract those searching for nearby providers. You may find out that adding a particular location to your list of keywords can turn out to be less expensive and bring you more targeted customers.
source:www.businessweek.com
Demonstrating Your Company's Commitment to Sustainability
As we head into 2009, new examples of wind and solar energy initiatives are popping up everywhere. More and more companies are looking for ways to reduce energy spending and create a corporate culture dedicated to improving the environment while still focusing on business.
Such changes should take place internally and also be reflected externally with your company's brand in mind. As a small-business owner, you should make certain the message and the media you use are aligned to show exactly what is important to your company and how it relates to the overall community. If, for example, you are thinking of outdoor advertising such as billboards, consider alternatives to bright LEDs, because they raise questions about safety and light pollution. Instead of print advertising, consider Web options to reduce the amount of paper waste created by corporate mailers.
Always remember that the tools you use say a lot about your business and its commitment to the environment.
source:www.businessweek.com
Such changes should take place internally and also be reflected externally with your company's brand in mind. As a small-business owner, you should make certain the message and the media you use are aligned to show exactly what is important to your company and how it relates to the overall community. If, for example, you are thinking of outdoor advertising such as billboards, consider alternatives to bright LEDs, because they raise questions about safety and light pollution. Instead of print advertising, consider Web options to reduce the amount of paper waste created by corporate mailers.
Always remember that the tools you use say a lot about your business and its commitment to the environment.
source:www.businessweek.com
Reducing Lighting Costs
As more of us look for ways we can reduce our energy consumption, both individually and within our businesses, indoor lighting is becoming a major issue. For small businesses, the following tips can be easily implemented with quick results:
• Explore your options. New fluorescents are available that are brighter, consume less power, and last longer. Using adapters, you can mount them on existing fluorescent infrastructure.
• Don't go overboard. Many businesses have lighting systems installed that produce more light than needed. There are simple lighting guidelines that measure the needed light for different work environments. You can also have your space evaluated by a lighting technician.
• Harness the power of the sun. It might be worthwhile buying solar panels and feeding energy back to the grid. Doing so can provide tax breaks and allow you to market your efforts to make your business "green."
source: www.businessweek.com
• Explore your options. New fluorescents are available that are brighter, consume less power, and last longer. Using adapters, you can mount them on existing fluorescent infrastructure.
• Don't go overboard. Many businesses have lighting systems installed that produce more light than needed. There are simple lighting guidelines that measure the needed light for different work environments. You can also have your space evaluated by a lighting technician.
• Harness the power of the sun. It might be worthwhile buying solar panels and feeding energy back to the grid. Doing so can provide tax breaks and allow you to market your efforts to make your business "green."
source: www.businessweek.com
How do you start a business?
1) Base a business on what you know
Create an idea for a business based on what interests you and what you know. If you are not passionate about the business, customers and prospects will sense it.
2) Target your market
Keep an eye out for unmet needs. If your community lacks a product or service that you have the ability and willingness to provide, you might be onto a kernel of a business idea. Talk to prospective customers, experts in the field and leverage every available resource. If possible, conduct online surveys, phone interviews and face-to-face discussions to sharpen your idea.
3) Be flexible
Once you have an idea, be prepared to modify it — flexibility is critical to being a small business owner. Ask any owner — a few unexpected experiences likely brought them to their destination.
4) Create a short business plan
“Your business plans should spell out who you plan to sell to, what they will pay for products and/or services, how your offering is unique, how you will reach customers and how you will turn a profit,” says Susan Sobbott, president of OPEN from American Express. Five pages is enough, she says, and the process of creating this document will help to polish your idea further and create a plan to get started. Network with members of the local chapter of the National Association of Women Business Owners (www.nawbo.org) in your area or visit a Small Business Administration’s Women’s Business Center (www.sba.gov) to help with research for your business plan.
SOURCE:www.msnbc.msn.com
Create an idea for a business based on what interests you and what you know. If you are not passionate about the business, customers and prospects will sense it.
2) Target your market
Keep an eye out for unmet needs. If your community lacks a product or service that you have the ability and willingness to provide, you might be onto a kernel of a business idea. Talk to prospective customers, experts in the field and leverage every available resource. If possible, conduct online surveys, phone interviews and face-to-face discussions to sharpen your idea.
3) Be flexible
Once you have an idea, be prepared to modify it — flexibility is critical to being a small business owner. Ask any owner — a few unexpected experiences likely brought them to their destination.
4) Create a short business plan
“Your business plans should spell out who you plan to sell to, what they will pay for products and/or services, how your offering is unique, how you will reach customers and how you will turn a profit,” says Susan Sobbott, president of OPEN from American Express. Five pages is enough, she says, and the process of creating this document will help to polish your idea further and create a plan to get started. Network with members of the local chapter of the National Association of Women Business Owners (www.nawbo.org) in your area or visit a Small Business Administration’s Women’s Business Center (www.sba.gov) to help with research for your business plan.
SOURCE:www.msnbc.msn.com
Starting a business? Tips for a successful launch Sharon Epperson shares smart ideas for nurturing your new business
Starting your own business can be daunting, but if you have an idea of the obstacles you could face you’ll be well ahead of the game. Lots of folks think they have a great idea for a business — selling customized gift packages of your signature-recipe brownies, creating a fundraising consulting firm for nonprofits, or opening a health and wellness store catering to new moms. You think you’ve come up with a terrific enterprise, one that you’re really passionate about, but do you really know what it takes to launch this business?
CNBC’s personal finance correspondent Sharon Epperson, author of “The Big Payoff,” poses the questions you need to ask yourself — and some tips on how to find the answers.
What do you need to know before you start a business?
What you need to know is not always apparent until you start developing your business. You’ll likely make many mistakes and learn from them. But to make that learning experience less painful, follow these steps before you start your business.
Build your cash reserve
Unless you already have substantial savings or have recently received a windfall, you’ll probably need to start saving money for your business for a few years before you launch it. Plan to put any extra money that you get from a raise, bonus or stock options into a special fund for your business. The amount of money you’ll need will likely vary depending on the type of business and the location. Dawn Casale, owner of One Girl Cookies in Brooklyn, says her advice to budding entrepreneurs is always: “Save double what you think you’ll need because it goes so quickly.”
Know your credit score
Pay off as many bills as you can, save money, and get a copy of your credit report to understand what it says about you. “Know, protect and correct your credit score,” says Nell Merlino, president and CEO of Count Me In, which provides micro-loans for women entrepreneurs. (Count Me In and OPEN by American Express provide money, mentoring and marketing opportunities for entrepreneurs to help them grow their businesses to a million dollars or more.)
source:http://www.msnbc.msn.com/id
CNBC’s personal finance correspondent Sharon Epperson, author of “The Big Payoff,” poses the questions you need to ask yourself — and some tips on how to find the answers.
What do you need to know before you start a business?
What you need to know is not always apparent until you start developing your business. You’ll likely make many mistakes and learn from them. But to make that learning experience less painful, follow these steps before you start your business.
Build your cash reserve
Unless you already have substantial savings or have recently received a windfall, you’ll probably need to start saving money for your business for a few years before you launch it. Plan to put any extra money that you get from a raise, bonus or stock options into a special fund for your business. The amount of money you’ll need will likely vary depending on the type of business and the location. Dawn Casale, owner of One Girl Cookies in Brooklyn, says her advice to budding entrepreneurs is always: “Save double what you think you’ll need because it goes so quickly.”
Know your credit score
Pay off as many bills as you can, save money, and get a copy of your credit report to understand what it says about you. “Know, protect and correct your credit score,” says Nell Merlino, president and CEO of Count Me In, which provides micro-loans for women entrepreneurs. (Count Me In and OPEN by American Express provide money, mentoring and marketing opportunities for entrepreneurs to help them grow their businesses to a million dollars or more.)
source:http://www.msnbc.msn.com/id
Selasa, 20 Januari 2009
Your business and the flurry of market meltdowns
An interesting article in the Melb Age newspaper on the flow on effect to smaller businesses.
In an interesting basic view, if the big banks can’t get money to lend, or they are pulling their heads in “Just in case” then your chances of getting credit of some kind may well be hampered, in the short term maybe not a big deal, but in the bigger picture the squeeze could be on!
source:http://freebusinesstips.com.au/marketing/your-business-and-the-flurry-of-market-meltdowns
In an interesting basic view, if the big banks can’t get money to lend, or they are pulling their heads in “Just in case” then your chances of getting credit of some kind may well be hampered, in the short term maybe not a big deal, but in the bigger picture the squeeze could be on!
source:http://freebusinesstips.com.au/marketing/your-business-and-the-flurry-of-market-meltdowns
setting up a home-based business
1. Devise a plan of attack. Before venturing too far down this path, make absolutely sure a market exists for your product or services. Writing up a business plan can help you determine whether your idea is workable. You should prepare a business plan even if you don’t plan to apply for a loan from a bank or the Small Business Administration. You can visit your local library and check out books about how to write business plans for free.
2. Could you fly solo? If companies in your career field frequently rely on independent contractors to handle certain jobs, perhaps you could become one of those independent contractors and work right out of your home. In that instance, you could do business as a self-employed individual or a “sole proprietor” for tax purposes. For details, visit this IRS Web site.
3. Or would you need employees? If your business idea would require you to hire employees, be prepared for life to become more complicated. For information on applying for a business license, contact your state’s department of licensing or department of professional regulation. For information on applying for a federal tax identification number and hiring workers, visit the same IRS site mentioned in tip number 2 and click on “Businesses with Employees.”
4. Pay estimated taxes four times a year. To avoid an unexpected doozy of a tax bill after you strike out on your own, get in the habit of filing estimated tax payments by the deadlines established by the IRS. For information, go to the IRS home page and search for “estimated taxes.”
5. Save for retirement. This may seem like a low priority when you’re struggling to get a business up and running, but it’s important to set aside at least some money for retirement each month. One relatively easy way to do this is to open a simplified employee pension individual retirement account, or SEP IRA.
6. Think about your work space. When working from home, you ideally should have a separate space for your office. If an entire room isn’t possible, create boundaries for a work area with partitions or drapes. Your work station should be ergonomically sound, which may require an investment in a good chair. You’ll also need a computer, Internet access and a fax machine, which could double as a printer/copier/scanner.
7. Think about child care. If you have children, set rules about when they can and cannot enter your work area and how they should behave there. Come up with a workable child-care system, which may involve hiring a sitter for a few hours a day.
8. Consider installing a separate phone line. A separate phone line may be important so that your phone calls can be answered as professionally as possible, without children crying or dogs barking in the background. Also consider opting for a higher-quality voice-mail system instead of a regular old answering machine.
9. Look like a pro. You’ll want to have a professional-looking Web site with a domain name that corresponds with the name of your business. Also, your business cards and stationery should be on a par with what a large company would use. You can order these supplies quickly and economically at VistaPrint or 123Print.com, to name just a couple of places.
10. Be sure you have enough insurance. You’ll need health insurance for yourself and your family and liability insurance for your business. A good way to find relatively reasonable health coverage is through a business or trade organization in your field. At the very least, secure a low-cost catastrophic health insurance plan with a deductible of $2,000 or more.
source:wwww.today.msnbc.msn.com/id/26976151/
2. Could you fly solo? If companies in your career field frequently rely on independent contractors to handle certain jobs, perhaps you could become one of those independent contractors and work right out of your home. In that instance, you could do business as a self-employed individual or a “sole proprietor” for tax purposes. For details, visit this IRS Web site.
3. Or would you need employees? If your business idea would require you to hire employees, be prepared for life to become more complicated. For information on applying for a business license, contact your state’s department of licensing or department of professional regulation. For information on applying for a federal tax identification number and hiring workers, visit the same IRS site mentioned in tip number 2 and click on “Businesses with Employees.”
4. Pay estimated taxes four times a year. To avoid an unexpected doozy of a tax bill after you strike out on your own, get in the habit of filing estimated tax payments by the deadlines established by the IRS. For information, go to the IRS home page and search for “estimated taxes.”
5. Save for retirement. This may seem like a low priority when you’re struggling to get a business up and running, but it’s important to set aside at least some money for retirement each month. One relatively easy way to do this is to open a simplified employee pension individual retirement account, or SEP IRA.
6. Think about your work space. When working from home, you ideally should have a separate space for your office. If an entire room isn’t possible, create boundaries for a work area with partitions or drapes. Your work station should be ergonomically sound, which may require an investment in a good chair. You’ll also need a computer, Internet access and a fax machine, which could double as a printer/copier/scanner.
7. Think about child care. If you have children, set rules about when they can and cannot enter your work area and how they should behave there. Come up with a workable child-care system, which may involve hiring a sitter for a few hours a day.
8. Consider installing a separate phone line. A separate phone line may be important so that your phone calls can be answered as professionally as possible, without children crying or dogs barking in the background. Also consider opting for a higher-quality voice-mail system instead of a regular old answering machine.
9. Look like a pro. You’ll want to have a professional-looking Web site with a domain name that corresponds with the name of your business. Also, your business cards and stationery should be on a par with what a large company would use. You can order these supplies quickly and economically at VistaPrint or 123Print.com, to name just a couple of places.
10. Be sure you have enough insurance. You’ll need health insurance for yourself and your family and liability insurance for your business. A good way to find relatively reasonable health coverage is through a business or trade organization in your field. At the very least, secure a low-cost catastrophic health insurance plan with a deductible of $2,000 or more.
source:wwww.today.msnbc.msn.com/id/26976151/
Do Not Dump One Line of Business to Grow Another One
The death knell of growth comes when you decide that a line of business is too much work for you to keep. Do not dump any line of business unless it is losing money and there is no way to adjust costs, or no other sales channel available to you to profitably sell those goods or services. Before you do anything drastic, perform what-if scenarios and make sure that you do not need any heroic change in other lines of business to survive.
I know of a company that dropped an old line of business on the assumption that the new line of business would grow at a 500% annual rate. It did not grow that much, and over time its growth declined to a modest 25% annually. As you adjust to meet the needs of today's economy, adjust proportionately and avoid sweeping changes that can severely hurt your business.
source: http://www.businessweek.com/smallbiz/tips/
I know of a company that dropped an old line of business on the assumption that the new line of business would grow at a 500% annual rate. It did not grow that much, and over time its growth declined to a modest 25% annually. As you adjust to meet the needs of today's economy, adjust proportionately and avoid sweeping changes that can severely hurt your business.
source: http://www.businessweek.com/smallbiz/tips/
Selasa, 06 Januari 2009
Before you start-up in business
Setting up on your own is one of life’s ultimate learning curves.
Not just about making sure you succeed and earn a living, but also in terms of what it will teach you about yourself. We guarantee that by the end of the first year, your self-awareness will be considerably more acute.
But it’s not just awareness of yourself that is vital to survival in the cut-throat world of commerce – what do you know about your competitors? More to the point – do you know who your competitors are in the first place? What are their weaknesses? What do they charge? Remember that research into your competitors is an ongoing process, as too many failed businesses have discovered to their cost.
Time management is another string you’ll need to add your bow. You need to be prepared for the fact that the usual nine-to-five existence you’ve probably enjoyed so far in your working life may have to become a 12 hour day or longer, at least for the first few months or so.
You’ll have to be prepared to put personal arrangements on hold and maybe even to change social arrangements at short notice. Your closest friends will want you to succeed and will hopefully cut you the slack you need. It’s one of the few downsides to starting your own business, but you know what they say about broken eggs and omelettes.
Money is likely to be your greatest sticking point. Even with a solid business idea, with all the costs of setting up a new business – from computer hardware and equipment to crafting your own website – you’re going to need a little financial back-up to keep you going in the early days.
Set a start-up date and save up with this in mind. Alternatively, you could present a well-structured business plan to your bank manager with a start-up loan in mind. And whenever you are working out costings for your business, always formulate these with the worst case scenario in mind. It’s far better to have a little money left over than find yourself in debt before you’ve even started to generate a profit.
But even though funds are likely to be tight in the beginning, it’s not advisable to try to do everything yourself. Think hard about yourself and write down your strengths and weaknesses. If marketing isn’t your forte, call in someone to help. Likewise, call in a few favours from friends who may have the necessary expertise you’re lacking in those areas.
Similarly, book yourself an appointment with the two professionals you will perhaps need the most during your first few years of business – an accountant and a business advisor. These people really can mean the difference between make and break.
Good ones will have already played an active role in the setting up of hundreds of businesses and will be able to tell you if there is any aspect you’ve overlooked. It’s not difficult to seek out free business advice at the start-up stage. You’re best advised to shop around for an accountant. Try not to pick one on price – select the one who you feel will work best with you and your type of business. Relationship and trust is more important than anything.
You’ll also need to shop around the find the right bank to handle your new small business affairs. Consider factors such as whether you will have an individual available to answer any queries as they arise, as well as what the bank charges for borrowing money and general transactions.
And if, after all of this, you’ve decided that starting a business is the thing for you, you’ll need to think about the business structure you will be trading under – are you going to be a sole trader, set up a limited company or form a partnership?
source : www.bytestart.co.uk
How To Turn Expertise Into Business Leads
IRVINE, CA (December 15, 2006) — Content rules when it comes to generating business leads, says a June 2006 study of 1,900 business-to-business marketers conducted by MarketingSherpa. The study concluded that compelling content, delivered through seminars and white papers, is your best marketing investment for 2006 and beyond. The top three tactics ranked as very effective by service marketers were online seminars (33 percent), blogs (33 percent) and white papers (31 percent).
Learning how to turn business expertise into business leads through speaking and getting published is the focus of an all-day workshop on “How To Win Clients Through Persuasive Speeches and Seminars” to be held 9 am to 5 pm on Friday, December 15 at the Orange County campus of Pepperdine University in Irvine.
According to workshop leader and marketing author Henry DeVries, research studies consistently show that the best proactive business development strategy for professionals, consultants and relationship-based service businesses is to regularly demonstrate expertise by giving informative talks in front of targeted groups of potential new clients. DeVries, founder of the New Client Marketing Institute and a graduate of the Leading Professional Services Program at the Harvard Business School, will share the latest strategies on marketing through free and paid speaking opportunities.
DeVries, author of the books “Client Seduction” and “Self-Marketing Secrets” and a Web Marketing and Business Presentations instructor at UC San Diego, says the top seven ways to turn expertise into qualified leads are by hosting paid seminars and webinars, having a Web site that trades a white paper for email addresses, publishing ezines, gathering business cards for your ezine at networking events, blogging and submitting white papers on the Internet, giving speeches to trade groups and hosting small-scale executive briefings.
Best ways to promote your speaking and writing, according to a 2005 survey of 900 b-to-b marketers conducted by Sales Lead Report, are by telemarketing (27.1 percent), email (26 percent), direct mail (22.3 percent) and search engine optimization (12.2 percent), print ads (5.2 percent) and pay-per-click ads (4.4 percent).
A fundraiser for the Southern California Emerging Business Association (www.sceba.org) and the Association of Professional Consultants (www.consultapc.org), the workshop is presented in conjunction with the Orange County Chapter of the Pepperdine University Alumni Association. The early bird tuition is $137 for the general public before December 7, $177 until December 14 and $200 at the door. Discount admission is available to Pepperdine students and alumni, SCEBA members and APC members. A networking lunch is included and parking is compliments of Pepperdine University. Attendees also receive an audio CD on persuasive business presentations and white papers on “102 Rainmaking Ideas” and “How To Become A Published Book Author in 90 Days.”
source: www.newclientmarketing.com
Learning how to turn business expertise into business leads through speaking and getting published is the focus of an all-day workshop on “How To Win Clients Through Persuasive Speeches and Seminars” to be held 9 am to 5 pm on Friday, December 15 at the Orange County campus of Pepperdine University in Irvine.
According to workshop leader and marketing author Henry DeVries, research studies consistently show that the best proactive business development strategy for professionals, consultants and relationship-based service businesses is to regularly demonstrate expertise by giving informative talks in front of targeted groups of potential new clients. DeVries, founder of the New Client Marketing Institute and a graduate of the Leading Professional Services Program at the Harvard Business School, will share the latest strategies on marketing through free and paid speaking opportunities.
DeVries, author of the books “Client Seduction” and “Self-Marketing Secrets” and a Web Marketing and Business Presentations instructor at UC San Diego, says the top seven ways to turn expertise into qualified leads are by hosting paid seminars and webinars, having a Web site that trades a white paper for email addresses, publishing ezines, gathering business cards for your ezine at networking events, blogging and submitting white papers on the Internet, giving speeches to trade groups and hosting small-scale executive briefings.
Best ways to promote your speaking and writing, according to a 2005 survey of 900 b-to-b marketers conducted by Sales Lead Report, are by telemarketing (27.1 percent), email (26 percent), direct mail (22.3 percent) and search engine optimization (12.2 percent), print ads (5.2 percent) and pay-per-click ads (4.4 percent).
A fundraiser for the Southern California Emerging Business Association (www.sceba.org) and the Association of Professional Consultants (www.consultapc.org), the workshop is presented in conjunction with the Orange County Chapter of the Pepperdine University Alumni Association. The early bird tuition is $137 for the general public before December 7, $177 until December 14 and $200 at the door. Discount admission is available to Pepperdine students and alumni, SCEBA members and APC members. A networking lunch is included and parking is compliments of Pepperdine University. Attendees also receive an audio CD on persuasive business presentations and white papers on “102 Rainmaking Ideas” and “How To Become A Published Book Author in 90 Days.”
source: www.newclientmarketing.com
Starting a new business - an introduction
Welcome to Bytestart’s comprehensive small business set-up guide, featuring all the information you need to get your commercial venture off to a healthy, solid start.
From choosing the right name for your company and basic business plan guidance, all the way through to up-to-date taxation advice, banking and insurance tips, it’s all included.
Not only that, but we also reveal the vital character traits you’ll need to survive in business. Determination and originality are key. Equally, so is the ability to organise your time and to put the requisite effort in during the early days.
It’s a long road, with plenty of hairpin bends and adverse cambers which lie head. But through the use of our own personal experiences and a host of expert contributors, we’ll ensure you’re in pole position to succeed.
We’ve all been there, so we know just what it takes to get your business off the ground. That’s why we’ve questioned every one of our experts at Bytestart. We’ve grilled all of our contributors on their specialist subject and compiled all the best advice into this simple step-by-step guide, presented in easy-to-read, Bytestart-sized chunks.
As with any new commercial venture, success can never be guaranteed, but our aim is to minimise the trickier elements involved in setting up on your own. We’ll forewarn you of the most common pitfalls, including failure to research your market in sufficient detail and not setting aside enough funds for tougher financial times.
Starting up even the smallest business can be a daunting prospect. But take comfort in the fact that you are not alone. In fact, of the four million businesses currently in operation in the UK, more than 99.3 per cent are categorised as “small,” with fewer than 50 employees.
In order to keep this guide as compact as possible, where we’ve not had enough room to include every last detail, you’ll find a link taking you to the most relevant Bytestart pages and other websites.
Good luck – and don’t worry – we make it our business to make your business succeed.
source :www.bytestart.co.uk
From choosing the right name for your company and basic business plan guidance, all the way through to up-to-date taxation advice, banking and insurance tips, it’s all included.
Not only that, but we also reveal the vital character traits you’ll need to survive in business. Determination and originality are key. Equally, so is the ability to organise your time and to put the requisite effort in during the early days.
It’s a long road, with plenty of hairpin bends and adverse cambers which lie head. But through the use of our own personal experiences and a host of expert contributors, we’ll ensure you’re in pole position to succeed.
We’ve all been there, so we know just what it takes to get your business off the ground. That’s why we’ve questioned every one of our experts at Bytestart. We’ve grilled all of our contributors on their specialist subject and compiled all the best advice into this simple step-by-step guide, presented in easy-to-read, Bytestart-sized chunks.
As with any new commercial venture, success can never be guaranteed, but our aim is to minimise the trickier elements involved in setting up on your own. We’ll forewarn you of the most common pitfalls, including failure to research your market in sufficient detail and not setting aside enough funds for tougher financial times.
Starting up even the smallest business can be a daunting prospect. But take comfort in the fact that you are not alone. In fact, of the four million businesses currently in operation in the UK, more than 99.3 per cent are categorised as “small,” with fewer than 50 employees.
In order to keep this guide as compact as possible, where we’ve not had enough room to include every last detail, you’ll find a link taking you to the most relevant Bytestart pages and other websites.
Good luck – and don’t worry – we make it our business to make your business succeed.
source :www.bytestart.co.uk
Ten Tips for New Small Businesses (part 2)
6. Get and keep a competitive edge.
Building a competitive edge into the fabric of your business is crucially important to long-term success. Some ways to get this edge are by knowing more than your competitors, making a product that is hard or impossible to imitate, being able to produce or distribute your product more efficiently, having a better location, or offering superior customer service.
One way to hold on to your competitive edge is to protect your trade secrets -- confidential information that gives you a competitive advantage in the marketplace. Examples of trade secrets include customer lists, survey methods, marketing strategies, and manufacturing techniques. To protect your trade secrets under the law, you need to take steps to keep the information confidential. This includes marking documents "Confidential," using passwords to protect computer information, using nondisclosure and/or noncompete agreements, and limiting access to employees with a reasonable need to know the trade secrets. (For more information, see Trade Secret Basics FAQ.)
Another way to keep your competitive edge is to react quickly to bad news. Once you see that your business faces some kind of adversity, you need to come up with a plan to deal with it immediately. This may involve moving your offices, introducing a new product or service, or developing a better way to reach customers.
7. Put all agreements in writing.
The laws of your state require you to put some contracts and agreements in writing:
Contracts that will last longer than a year.
Contracts that involve the sale of goods worth $500 or more.
Contracts that transfer the ownership of copyrights or real estate.
(To learn about contracts, see Keeping Your Contracts Simple -- and Enforceable.)
Even if not legally required, it's wise to put almost everything in writing, because oral agreements can be difficult or impossible to prove. This includes leases or rental agreements, storage agreements, contracts for services (such as consulting or electrical work), purchase orders or contracts for goods worth more than a couple hundred dollars, offer letters of employment, and employment policies. Get in the habit of getting and giving receipts for all goods, services, and deposits, regardless of how much.
8. Hire and keep good people.
Your goal should be to hire and retain truly excellent employees -- not just reasonably competent ones. A highly competent and truly enthusiastic employee is at least two and sometimes even three times as valuable as a person of average skills.
To create a stable and happy workforce, it's essential not only that your employees (and independent contractors) believe they are being fairly treated, but that your business is worthy of respect. Employees and contractors who like their work will represent you well on and off the job. And customers will more likely be loyal to an upbeat business -- and are more likely to recommend it to their friends. For more information, see the Human Resources area of Nolo's website.
9. Pay attention to the legal status of your workers.
When you hire workers as independent contractors, make sure they shouldn't really be taxed as employees. The IRS can impose substantial penalties against you for not withholding taxes and paying taxes for a worker who is really an employee. The IRS and other agencies are likely to think that a worker is an employee rather than an independent contractor under any of these conditions:
The worker works full-time or nearly full-time for you.
The worker doesn't work for anyone else.
The worker provides services that are an integral part of your operations.
You control how the worker does the job and provide detailed instructions and training for the worker.
One way to help avoid trouble is to have the worker sign a written service contract, or independent contractor agreement. For more information, see the Hiring Independent Contractors area.
Most employees you hire will be "at-will" employees -- subject to being fired at any time and for any reason (except for illegal motives such as discrimination). It's important to preserve your at-will rights because they protect you from having to prove that you have a valid business-related reason to terminate an employee. Don't make any promises to prospective or current employees that you are offering a permanent job or that they will lose their job only if they perform poorly, because this will limit your ability to terminate the employee for other reasons, such as personality conflicts or finances.
When hiring an at-will employee, have the employee sign an offer letter that makes it clear that the employment relationship is at will. Except for high-level executives, you shouldn't have employees sign an employment contract -- this can limit your ability to alter the terms of employment as your business needs change and subjects you to higher legal standards. For more information on hiring employees, see the Hiring Employees area.
10. Pay your bills early and your taxes on time.
In the real world, where a reputation for keeping one's word is a hugely important asset, a good strategy is either to pay your bills up front or pay them early. You gain trust, build a positive credit profile, and have a built-in safety net if things go badly. These benefits outweigh any interest you might earn by holding onto your money until the last possible minute.
Most importantly, pay your payroll taxes on time, especially the portion that you withhold from your employees' paychecks. The IRS and state tax authorities can hold you personally liable for these taxes, plus stiff penalties, if they're not paid. This is true even if you operate your business as a corporation or LLC or if your business goes bankrupt -- you will still be personally and legally on the hook to pay back payroll taxes. (If you find yourself having trouble paying the bills, see Tips for Financially Troubled Businesses.)
Building a competitive edge into the fabric of your business is crucially important to long-term success. Some ways to get this edge are by knowing more than your competitors, making a product that is hard or impossible to imitate, being able to produce or distribute your product more efficiently, having a better location, or offering superior customer service.
One way to hold on to your competitive edge is to protect your trade secrets -- confidential information that gives you a competitive advantage in the marketplace. Examples of trade secrets include customer lists, survey methods, marketing strategies, and manufacturing techniques. To protect your trade secrets under the law, you need to take steps to keep the information confidential. This includes marking documents "Confidential," using passwords to protect computer information, using nondisclosure and/or noncompete agreements, and limiting access to employees with a reasonable need to know the trade secrets. (For more information, see Trade Secret Basics FAQ.)
Another way to keep your competitive edge is to react quickly to bad news. Once you see that your business faces some kind of adversity, you need to come up with a plan to deal with it immediately. This may involve moving your offices, introducing a new product or service, or developing a better way to reach customers.
7. Put all agreements in writing.
The laws of your state require you to put some contracts and agreements in writing:
Contracts that will last longer than a year.
Contracts that involve the sale of goods worth $500 or more.
Contracts that transfer the ownership of copyrights or real estate.
(To learn about contracts, see Keeping Your Contracts Simple -- and Enforceable.)
Even if not legally required, it's wise to put almost everything in writing, because oral agreements can be difficult or impossible to prove. This includes leases or rental agreements, storage agreements, contracts for services (such as consulting or electrical work), purchase orders or contracts for goods worth more than a couple hundred dollars, offer letters of employment, and employment policies. Get in the habit of getting and giving receipts for all goods, services, and deposits, regardless of how much.
8. Hire and keep good people.
Your goal should be to hire and retain truly excellent employees -- not just reasonably competent ones. A highly competent and truly enthusiastic employee is at least two and sometimes even three times as valuable as a person of average skills.
To create a stable and happy workforce, it's essential not only that your employees (and independent contractors) believe they are being fairly treated, but that your business is worthy of respect. Employees and contractors who like their work will represent you well on and off the job. And customers will more likely be loyal to an upbeat business -- and are more likely to recommend it to their friends. For more information, see the Human Resources area of Nolo's website.
9. Pay attention to the legal status of your workers.
When you hire workers as independent contractors, make sure they shouldn't really be taxed as employees. The IRS can impose substantial penalties against you for not withholding taxes and paying taxes for a worker who is really an employee. The IRS and other agencies are likely to think that a worker is an employee rather than an independent contractor under any of these conditions:
The worker works full-time or nearly full-time for you.
The worker doesn't work for anyone else.
The worker provides services that are an integral part of your operations.
You control how the worker does the job and provide detailed instructions and training for the worker.
One way to help avoid trouble is to have the worker sign a written service contract, or independent contractor agreement. For more information, see the Hiring Independent Contractors area.
Most employees you hire will be "at-will" employees -- subject to being fired at any time and for any reason (except for illegal motives such as discrimination). It's important to preserve your at-will rights because they protect you from having to prove that you have a valid business-related reason to terminate an employee. Don't make any promises to prospective or current employees that you are offering a permanent job or that they will lose their job only if they perform poorly, because this will limit your ability to terminate the employee for other reasons, such as personality conflicts or finances.
When hiring an at-will employee, have the employee sign an offer letter that makes it clear that the employment relationship is at will. Except for high-level executives, you shouldn't have employees sign an employment contract -- this can limit your ability to alter the terms of employment as your business needs change and subjects you to higher legal standards. For more information on hiring employees, see the Hiring Employees area.
10. Pay your bills early and your taxes on time.
In the real world, where a reputation for keeping one's word is a hugely important asset, a good strategy is either to pay your bills up front or pay them early. You gain trust, build a positive credit profile, and have a built-in safety net if things go badly. These benefits outweigh any interest you might earn by holding onto your money until the last possible minute.
Most importantly, pay your payroll taxes on time, especially the portion that you withhold from your employees' paychecks. The IRS and state tax authorities can hold you personally liable for these taxes, plus stiff penalties, if they're not paid. This is true even if you operate your business as a corporation or LLC or if your business goes bankrupt -- you will still be personally and legally on the hook to pay back payroll taxes. (If you find yourself having trouble paying the bills, see Tips for Financially Troubled Businesses.)
Ten Tips for New Small Businesses by Diana Fitzpatrick, J.D. & Bethany K. Laurence, J.D (part 1)
Suggestions to help get your business off to a smooth start and keep it going for the long haul.
1. Save up as much money as possible before starting.
All too often, people go into business without any savings, exclusively using loan money from friends, banks, or the SBA. They except to be able to start paying the loans back right away with their profits. What these business owners don't realize is that it can take months or years to make a profit. And once a lender discovers a business isn't as profitable as expected, the lender is likely to call in the loan or refuse to renew it for another year. Often new business owners then have to take out home equity loans or use credit cards to pay off their loans (which puts their home and credit rating at risk). For more information, see Business Financing FAQ.
A better plan is to save up as much of the needed investment money as possible, including your living expenses for the first year, or even two. Odds are that your business won't be profitable for one to two years. Even if you get plenty of business coming your way -- and your customers pay you on time, which isn't always a sure thing -- you'll want to be able to invest most of that money back in the business for space, equipment, advertising, and insurance needs.
2. Start on a shoestring.
Think small. Don't rent premises if you can work somewhere else, and don't hire employees until you can keep them busy. (You can hire independent contractors or temps in the meantime.)
People who start their small business on the cheap, often in a garage, den, or some other scavenged space, and create their first goods or services with more sweat than cash, have the luxury of making their inevitable rookie mistakes on a small scale. And precisely because their early screw-ups don't bury them in debt, they are usually able to learn and recover from them. (Plus, running your business from home can save you tax dollars too -- see The Home-Office Tax Deduction for more information.)
3. Protect your personal assets.
When you go into business for yourself, you are usually personally liable for all judgments and debts that the business incurs. This includes business loans, taxes, money owed to suppliers and landlords, and any judgments against the business as a result of a lawsuit. If you don't protect yourself, a creditor can go after your personal assets, such as your car and your house, to pay for these debts.
While you can protect yourself against lawsuits by buying business liability insurance, this won't help you with business debts. If you will be running up big debts, consider forming a corporation or limited liability company (LLC). Just one person can form either of these types of businesses. For more information, see Choosing the Best Ownership Structure for Your Business.
4. Understand how -- and if -- you will make a profit.
You should be able to state in just a few sentences how your business plans to make a substantial profit. For starters, you need to know your costs: how much you'll spend purchasing inventory, paying the rent, compensating any employees, and covering what is likely to be a surprisingly long list of other costs. Then you can figure out exactly how much you need to sell each month, for how many dollars, to cover those expenses and have an adequate profit besides. These numbers are all you need to create a "break-even analysis." For more information, see Will My Business Make Money?
5. Make a business plan, no matter how short.
Understanding your profit numbers and creating a break-even analysis is the first step in making a business plan. For most small companies, the key portions of a business plan are the break-even analysis, a profit-and-loss forecast, and a cash flow projection. (Projecting your cash flow is key and will make or break your company: Even if your business is getting plenty of work or selling its products, if you're not getting paid for 90-180 days, you're not going to survive unless you've planned for it.) With a cash flow spreadsheet in place, as well as a profit-and-loss forecast, you can tinker with your business idea and improve it before you start -- and continue to use them after you start.
Creating a business plan also allows you to determine what your projected start-up costs are (how much money you'll need to save) and what you marketing strategies are (how you'll reach customers to make sales). If you can't make the numbers work on paper, you won't be able to make them work in real life. For more information, see The Essentials of a Business Plan.
source :www.nolo.com/article.cfm
1. Save up as much money as possible before starting.
All too often, people go into business without any savings, exclusively using loan money from friends, banks, or the SBA. They except to be able to start paying the loans back right away with their profits. What these business owners don't realize is that it can take months or years to make a profit. And once a lender discovers a business isn't as profitable as expected, the lender is likely to call in the loan or refuse to renew it for another year. Often new business owners then have to take out home equity loans or use credit cards to pay off their loans (which puts their home and credit rating at risk). For more information, see Business Financing FAQ.
A better plan is to save up as much of the needed investment money as possible, including your living expenses for the first year, or even two. Odds are that your business won't be profitable for one to two years. Even if you get plenty of business coming your way -- and your customers pay you on time, which isn't always a sure thing -- you'll want to be able to invest most of that money back in the business for space, equipment, advertising, and insurance needs.
2. Start on a shoestring.
Think small. Don't rent premises if you can work somewhere else, and don't hire employees until you can keep them busy. (You can hire independent contractors or temps in the meantime.)
People who start their small business on the cheap, often in a garage, den, or some other scavenged space, and create their first goods or services with more sweat than cash, have the luxury of making their inevitable rookie mistakes on a small scale. And precisely because their early screw-ups don't bury them in debt, they are usually able to learn and recover from them. (Plus, running your business from home can save you tax dollars too -- see The Home-Office Tax Deduction for more information.)
3. Protect your personal assets.
When you go into business for yourself, you are usually personally liable for all judgments and debts that the business incurs. This includes business loans, taxes, money owed to suppliers and landlords, and any judgments against the business as a result of a lawsuit. If you don't protect yourself, a creditor can go after your personal assets, such as your car and your house, to pay for these debts.
While you can protect yourself against lawsuits by buying business liability insurance, this won't help you with business debts. If you will be running up big debts, consider forming a corporation or limited liability company (LLC). Just one person can form either of these types of businesses. For more information, see Choosing the Best Ownership Structure for Your Business.
4. Understand how -- and if -- you will make a profit.
You should be able to state in just a few sentences how your business plans to make a substantial profit. For starters, you need to know your costs: how much you'll spend purchasing inventory, paying the rent, compensating any employees, and covering what is likely to be a surprisingly long list of other costs. Then you can figure out exactly how much you need to sell each month, for how many dollars, to cover those expenses and have an adequate profit besides. These numbers are all you need to create a "break-even analysis." For more information, see Will My Business Make Money?
5. Make a business plan, no matter how short.
Understanding your profit numbers and creating a break-even analysis is the first step in making a business plan. For most small companies, the key portions of a business plan are the break-even analysis, a profit-and-loss forecast, and a cash flow projection. (Projecting your cash flow is key and will make or break your company: Even if your business is getting plenty of work or selling its products, if you're not getting paid for 90-180 days, you're not going to survive unless you've planned for it.) With a cash flow spreadsheet in place, as well as a profit-and-loss forecast, you can tinker with your business idea and improve it before you start -- and continue to use them after you start.
Creating a business plan also allows you to determine what your projected start-up costs are (how much money you'll need to save) and what you marketing strategies are (how you'll reach customers to make sales). If you can't make the numbers work on paper, you won't be able to make them work in real life. For more information, see The Essentials of a Business Plan.
source :www.nolo.com/article.cfm
Senin, 05 Januari 2009
Business start-up tips
Starting your own business is one of the most challenging but rewarding experiences you will ever embark on. While there is no way to eliminate all the risks involved, careful planning and research can improve your chances of success.
The following tips will give you an overview of what's involved in starting out on your own, and the issues you will need to address. Written by Business Link
1. Assess your skills
Firstly, do you have all the necessary skills to run a successful business? Being a self-starter goes without saying, but do you have the drive, determination, initiative, motivation and mental and physical energy to start a business? You'll need to be a good communicator and manager, as well as creative, flexible and able to plan and make decisions under pressure.
2. Research the market
It may be your passion or hobby but is it a viable business proposition? Find out all there is to know about your market before taking the huge step of implementing your business idea. Your market research should cover the size of the market, the demand for your products/services, and your likely competitors.
3. Create a winning business plan
A good business plan is pivotal to obtaining finance and will help you to focus on where you want your business to go and how you're going to get there. It should include a description of your business and management team, information on your products/services, revenue projections and financial requirements, and marketing and operational plans.
4. Take advice
Always seek advice, guidance and support in all aspects of your business - from the initial concept and business planning, to ongoing development and beyond. This will also help you to look at your business objectively, which can be difficult when you are so closely involved.
5. Know the law
Make sure you understand the legal intricacies of starting and running a business, including VAT registration, the legal requirements for your type of business (e.g. sole trader, limited company, partnership), partnership contracts, health and safety, and employment law.
6. Identify the best finance options
Once you've calculated how much money you need to start and run your business, it's best to shop around to ensure you find the best finance options available to you. This could be funds from business partners or investors, a bank loan or overdraft, or you may be able to borrow from friends and family. Work out what's best and safest for you.
7. Formulate a sales strategy
Think about the product or service you are selling and how you are going to package and present it. Decide on the most cost effective sales channels to reach your target market personal contact (e.g. direct selling, retail), telesales, direct mail or the internet. Ensure that you build up a profile of who your customers are and what they want.
8. Keep on top of bookkeeping
The paper chase can be incredible when first starting out in business, but it pays to keep on top of it all. Many small business owners end up managing the accounts themselves, especially when first starting out. For this reason it's essential that you find an accountant that you can trust, and who can advise you on the financial aspects of running a business.
9. Recruit the right staff
When you're ready to recruit staff, identify the areas of the business where you'll need help and expertise. Can you afford to employ staff with the relevant experience? Enhance your offering by drawing attention to the breadth of experience an employee will gain working for a start up, as well as opportunities to grow with the company.
10. Find the right location
The decision on where you base your business needs to be carefully considered, taking into account costs, competition and accessibility for staff and clients. Also consider the kind of image you wish to convey with your business premises. Do you need to attract passing trade in a busy area or is it more important to have cheaper or larger premises in a less prominent area?
source :www.teneric.co.uk
The following tips will give you an overview of what's involved in starting out on your own, and the issues you will need to address. Written by Business Link
1. Assess your skills
Firstly, do you have all the necessary skills to run a successful business? Being a self-starter goes without saying, but do you have the drive, determination, initiative, motivation and mental and physical energy to start a business? You'll need to be a good communicator and manager, as well as creative, flexible and able to plan and make decisions under pressure.
2. Research the market
It may be your passion or hobby but is it a viable business proposition? Find out all there is to know about your market before taking the huge step of implementing your business idea. Your market research should cover the size of the market, the demand for your products/services, and your likely competitors.
3. Create a winning business plan
A good business plan is pivotal to obtaining finance and will help you to focus on where you want your business to go and how you're going to get there. It should include a description of your business and management team, information on your products/services, revenue projections and financial requirements, and marketing and operational plans.
4. Take advice
Always seek advice, guidance and support in all aspects of your business - from the initial concept and business planning, to ongoing development and beyond. This will also help you to look at your business objectively, which can be difficult when you are so closely involved.
5. Know the law
Make sure you understand the legal intricacies of starting and running a business, including VAT registration, the legal requirements for your type of business (e.g. sole trader, limited company, partnership), partnership contracts, health and safety, and employment law.
6. Identify the best finance options
Once you've calculated how much money you need to start and run your business, it's best to shop around to ensure you find the best finance options available to you. This could be funds from business partners or investors, a bank loan or overdraft, or you may be able to borrow from friends and family. Work out what's best and safest for you.
7. Formulate a sales strategy
Think about the product or service you are selling and how you are going to package and present it. Decide on the most cost effective sales channels to reach your target market personal contact (e.g. direct selling, retail), telesales, direct mail or the internet. Ensure that you build up a profile of who your customers are and what they want.
8. Keep on top of bookkeeping
The paper chase can be incredible when first starting out in business, but it pays to keep on top of it all. Many small business owners end up managing the accounts themselves, especially when first starting out. For this reason it's essential that you find an accountant that you can trust, and who can advise you on the financial aspects of running a business.
9. Recruit the right staff
When you're ready to recruit staff, identify the areas of the business where you'll need help and expertise. Can you afford to employ staff with the relevant experience? Enhance your offering by drawing attention to the breadth of experience an employee will gain working for a start up, as well as opportunities to grow with the company.
10. Find the right location
The decision on where you base your business needs to be carefully considered, taking into account costs, competition and accessibility for staff and clients. Also consider the kind of image you wish to convey with your business premises. Do you need to attract passing trade in a busy area or is it more important to have cheaper or larger premises in a less prominent area?
source :www.teneric.co.uk
Top 10 Tips For Starting A Business That Will Succeed
1) Do what you love. You’re going to devote a lot of time and energy to starting a business and building it into a successful enterprise, so it’s really important that you truly deeply enjoy what you do, whether it be running fishing charters, creating pottery or providing financial advice.
2) Start your business while you’re still employed. How long can most people live without money? Not long. And it may be a long time before your new business actually makes any profits. Being employed while you’re starting your business means money in your pocket while you’re going through the business start up process.
3) Don’t do it alone. You NEED a support system while you’re starting a business (and afterwards). A family member or friend that you can bounce ideas off and who will listen sympathetically to the latest businses start up crisis is invaluable. Even better, find a mentor or, if you qualify, apply for a business start up program. Experienced guidance is the best support sytem of all.
4) Get clients or customers first. Don’t wait until you’ve offically started your business to line these up, because your business can’t survive without them. Do the networking. Make the contacts. Sell or even give away your products or services. You can’t start marketing too soon.
5) Write a business plan. The main reason for doing a business plan first is that it can help you avoid sinking your time and money into starting a business that will NOT succeed. (See “Why You Need A Business Plan” for other good reasons.)
6) Do the research. You’ll do a lot of research working through a business plan, but that’s just a start. You need to become an expert on your industry, products and services, if you’re not already. Joining related industry or professional associations before you start your business is a great idea.
7) Get professional help. On the other hand, just because you run a small business, doesn’t mean you have to be an expert on everything. If you’re not an accountant or bookkeeper, hire one (or both). If you need to write up a contract, and you’re not a lawyer, hire one. You will waste more time and possibly money in the long run trying to do things yourself that you’re not qualifed to do.
8) Get the money lined up. Save up if you have to. Approach potential investors and lenders. Figure our your financial fall-back plan. Don’t expect to start a business and then walk into a bank and get money. Traditional lenders don’t like new ideas and don’t like businesses without proven track records.
9) Be professional from the get-go. Everything about you and the way you do business needs to let people know that you are a professional running a serious business. That means getting all the accoutrements such as professional business cards, a business phone and a business email address, and treating people in a professional, courteous manner.
10) Get the legal and tax issues right the first time. It’s much more difficult and expensive to unsnarl a mess afterwards. Does your business need to be registered? Will you have to charge GST or PST? Will you have to have Workers’ Compensation Insurance or deal with payroll taxes? How will the form of business you choose affect your income tax situation? Learn what your legal and tax responsibilities are before you start your business and operate accordingly.
source :sbinfocanada.about.com
2) Start your business while you’re still employed. How long can most people live without money? Not long. And it may be a long time before your new business actually makes any profits. Being employed while you’re starting your business means money in your pocket while you’re going through the business start up process.
3) Don’t do it alone. You NEED a support system while you’re starting a business (and afterwards). A family member or friend that you can bounce ideas off and who will listen sympathetically to the latest businses start up crisis is invaluable. Even better, find a mentor or, if you qualify, apply for a business start up program. Experienced guidance is the best support sytem of all.
4) Get clients or customers first. Don’t wait until you’ve offically started your business to line these up, because your business can’t survive without them. Do the networking. Make the contacts. Sell or even give away your products or services. You can’t start marketing too soon.
5) Write a business plan. The main reason for doing a business plan first is that it can help you avoid sinking your time and money into starting a business that will NOT succeed. (See “Why You Need A Business Plan” for other good reasons.)
6) Do the research. You’ll do a lot of research working through a business plan, but that’s just a start. You need to become an expert on your industry, products and services, if you’re not already. Joining related industry or professional associations before you start your business is a great idea.
7) Get professional help. On the other hand, just because you run a small business, doesn’t mean you have to be an expert on everything. If you’re not an accountant or bookkeeper, hire one (or both). If you need to write up a contract, and you’re not a lawyer, hire one. You will waste more time and possibly money in the long run trying to do things yourself that you’re not qualifed to do.
8) Get the money lined up. Save up if you have to. Approach potential investors and lenders. Figure our your financial fall-back plan. Don’t expect to start a business and then walk into a bank and get money. Traditional lenders don’t like new ideas and don’t like businesses without proven track records.
9) Be professional from the get-go. Everything about you and the way you do business needs to let people know that you are a professional running a serious business. That means getting all the accoutrements such as professional business cards, a business phone and a business email address, and treating people in a professional, courteous manner.
10) Get the legal and tax issues right the first time. It’s much more difficult and expensive to unsnarl a mess afterwards. Does your business need to be registered? Will you have to charge GST or PST? Will you have to have Workers’ Compensation Insurance or deal with payroll taxes? How will the form of business you choose affect your income tax situation? Learn what your legal and tax responsibilities are before you start your business and operate accordingly.
source :sbinfocanada.about.com
Top ten tips to business survival
Statistics show that in the first quarter of 2006 the number of company liquidations rose by 17 per cent on the same period of the previous year. To improve your chances of survival, Bibby Financial Services is offering these basic business tips.
‘It is a sad fact of business life that some businesses will fail, and for those companies forced into liquidation in the first quarter of this year, this must be put down to experience,’ believes David Robertson, chief executive of Bibby Financial Services. ‘But, with the acumen, finance and drive to succeed, following some basic rules may dramatically improve a company’s chances of success.’
Bibby provides the following top ten tips:
• ‘Plan’ is a four-letter word – researching the market you are intending to enter is paramount. Be sure there is a demand for your services and identify who the competition is. Don’t forget to review your business plan and, if things have changed since you made it, ask yourself why.
• Pace yourself – budgeting is essential at all stages of the business lifecycle, but investing too much too soon may lead to a business becoming over-stretched.
• Credit where it’s due – negotiate longer credit terms with your suppliers but set shorter terms for your customers. Consider how early settlement or volume discounts could benefit your business.
• Lay out your own terms – establish and agree credit terms upfront. Ensure invoices are issued promptly, clearly displaying the conditions of the transaction such as “payment due”.
• Cash is king – cash is fundamental to any company and businesses must recognise the importance of generating cash and keeping it coming in. In the event of a cash flow blockage, explore alternative funding methods such as invoice finance which can release up to 85 per cent of the cash tied up in unpaid invoices.
• Streamline – look at ways in which internal processes can be carried out more efficiently and don’t be afraid to cut out wasteful tasks. Review your suppliers regularly to ensure their quotes are competitive and offer best value for money.
• Delegation’s what you need – by delegating time-consuming non essential tasks to other staff members, owners and manager will be freed to focus on the business' core activities such as generating new business.
• Ask the experts – seek external advice from an independent source such as an accountant, lawyer or business adviser. But remember to choose carefully – it is imperative that you select someone who appreciates your needs and understands which direction you want the business to go. Counsel from an outsider may also stop any rash decisions being made.
• Honesty is the best policy – be realistic. If things are not working out how you thought they would, address the reasons why this is happening and find a new approach.
• Roll with the punches – every business, at some stage or another, will experience a certain level of difficulty. Be decisive by tackling any problems head on and dealing with them promptly.
Comments
source :www.smallbusiness.co.uk
‘It is a sad fact of business life that some businesses will fail, and for those companies forced into liquidation in the first quarter of this year, this must be put down to experience,’ believes David Robertson, chief executive of Bibby Financial Services. ‘But, with the acumen, finance and drive to succeed, following some basic rules may dramatically improve a company’s chances of success.’
Bibby provides the following top ten tips:
• ‘Plan’ is a four-letter word – researching the market you are intending to enter is paramount. Be sure there is a demand for your services and identify who the competition is. Don’t forget to review your business plan and, if things have changed since you made it, ask yourself why.
• Pace yourself – budgeting is essential at all stages of the business lifecycle, but investing too much too soon may lead to a business becoming over-stretched.
• Credit where it’s due – negotiate longer credit terms with your suppliers but set shorter terms for your customers. Consider how early settlement or volume discounts could benefit your business.
• Lay out your own terms – establish and agree credit terms upfront. Ensure invoices are issued promptly, clearly displaying the conditions of the transaction such as “payment due”.
• Cash is king – cash is fundamental to any company and businesses must recognise the importance of generating cash and keeping it coming in. In the event of a cash flow blockage, explore alternative funding methods such as invoice finance which can release up to 85 per cent of the cash tied up in unpaid invoices.
• Streamline – look at ways in which internal processes can be carried out more efficiently and don’t be afraid to cut out wasteful tasks. Review your suppliers regularly to ensure their quotes are competitive and offer best value for money.
• Delegation’s what you need – by delegating time-consuming non essential tasks to other staff members, owners and manager will be freed to focus on the business' core activities such as generating new business.
• Ask the experts – seek external advice from an independent source such as an accountant, lawyer or business adviser. But remember to choose carefully – it is imperative that you select someone who appreciates your needs and understands which direction you want the business to go. Counsel from an outsider may also stop any rash decisions being made.
• Honesty is the best policy – be realistic. If things are not working out how you thought they would, address the reasons why this is happening and find a new approach.
• Roll with the punches – every business, at some stage or another, will experience a certain level of difficulty. Be decisive by tackling any problems head on and dealing with them promptly.
Comments
source :www.smallbusiness.co.uk
Business Website - 10 Reasons Why Your Business Should Have One By Matthew Shofoluwe
Business, like any organism, has to adapt to it's environment. While the underlying principles for conducting businesses may remain unchanged, some areas are almost always in need of new and better ways of doing the same things. An example of such area is in communication. These includes presentations. Business has to promote itself. Passers by become visitors, who may become customers. A unique tool of these promotions is the internet, and the website in general. Even then, why is this tool so very essential:
A. Online Shopping is rising in popularity.
Various statistics would show that many, many more now have access to personal computers and the internet. It is not unusual that people check on the internet, if only for price comparison purposes, before buying an item. Business cannot afford to miss out on this rise in trend.
B. Make Sales of Goods And Services online
With proper business presentations, goods and services can, and are bought and sold daily. These can greatly increase sales.
C. Low, Low Cost
The cost of setting up a commercial website is very low, when the potential rewards are considered. These days, website templates are so readily available.
D. Branding
In business, there is no substitute for branding. The public needs to know what is unique about your presence. A commercial website can establish your presence at a fraction of the cost and much less time than it would take without such a website.
E. Information about your business
Here the commercial website is in it's natural elements. The internet is described as the information super-highway, and you have a chance to provide information in a style and manner that is particularly suited to your business.
F. Reach The World
Websites are global. If hosted and promoted properly, a commercial website can reach the world in record time. Pay Per Click campaign comes to mind here. People can search and access the website 24 hours a day, 7 days of the week, all year round. The exposure truly boggles the mind.
G. Human Relations
People have access to websites 24 hours of the day. The information you want to present is on display. For more information, contact can be made. If you have set time for answering e-mails, say an hour each day, you might respond to 10, 15 or even 20 e-mails in that time, depending on the required response. It may not be possible to attend to such numbers, in that time, in real life.
H. Convenience For Customers
Visitors and the business customers can view your site as often as they want. Once the website presentation is laid out, there is no pressure from you which might be seen as coercion.
I The Competition
Sound business ideas have a habit of not lying idle. The competition will seize on it with both hands. It is also noticeable that even large businesses have e-commerce section. It may be only a percentage of their overall operations, but there must be sound business reasons why they are there.
J. Interactivity
Websites allow interactivity with visitors or customers in a way that may usually not be possible. This is not the same as traditional human relations. This can be spontaneous. It has far, far reaches. It builds relationships as well as business contacts. It is sometimes referred to as Web 2.0.
source: ezinearticles.com
A. Online Shopping is rising in popularity.
Various statistics would show that many, many more now have access to personal computers and the internet. It is not unusual that people check on the internet, if only for price comparison purposes, before buying an item. Business cannot afford to miss out on this rise in trend.
B. Make Sales of Goods And Services online
With proper business presentations, goods and services can, and are bought and sold daily. These can greatly increase sales.
C. Low, Low Cost
The cost of setting up a commercial website is very low, when the potential rewards are considered. These days, website templates are so readily available.
D. Branding
In business, there is no substitute for branding. The public needs to know what is unique about your presence. A commercial website can establish your presence at a fraction of the cost and much less time than it would take without such a website.
E. Information about your business
Here the commercial website is in it's natural elements. The internet is described as the information super-highway, and you have a chance to provide information in a style and manner that is particularly suited to your business.
F. Reach The World
Websites are global. If hosted and promoted properly, a commercial website can reach the world in record time. Pay Per Click campaign comes to mind here. People can search and access the website 24 hours a day, 7 days of the week, all year round. The exposure truly boggles the mind.
G. Human Relations
People have access to websites 24 hours of the day. The information you want to present is on display. For more information, contact can be made. If you have set time for answering e-mails, say an hour each day, you might respond to 10, 15 or even 20 e-mails in that time, depending on the required response. It may not be possible to attend to such numbers, in that time, in real life.
H. Convenience For Customers
Visitors and the business customers can view your site as often as they want. Once the website presentation is laid out, there is no pressure from you which might be seen as coercion.
I The Competition
Sound business ideas have a habit of not lying idle. The competition will seize on it with both hands. It is also noticeable that even large businesses have e-commerce section. It may be only a percentage of their overall operations, but there must be sound business reasons why they are there.
J. Interactivity
Websites allow interactivity with visitors or customers in a way that may usually not be possible. This is not the same as traditional human relations. This can be spontaneous. It has far, far reaches. It builds relationships as well as business contacts. It is sometimes referred to as Web 2.0.
source: ezinearticles.com
Business Success - Top 7 Tips By Patricia Seamon
Most assuredly, to be a success at anything as well as business, you must know the basics of your particular business.
Starting with Number 7 Top Tip for Business Success, do your homework. Get on the web or visit and interview people who are already successful in the type of business you have or are considering starting. You will be surprised at how generous like business people will be as long as you are not a direct threat to their territory.
The Number 6 Top Tip is pay attention. Pay attention to everything that goes on around you. Business associates and customers are giving off advice with their words and actions whether they are aware of it or not. Attentive people are more apt to gain specialized educations from their surroundings.
The Number 5 Top Tip for Business Success relates to how you relate to others. A little attention to people skills goes a long way. If there is an agitator in the workplace, they won't be there for long. Co-workers will complain and the boss will be forced to transfer the problem or eliminate it. It's easier to go with the flow and look for the good in your fellowman.
When choosing the Number 4 Top Tip it was a toss up. It was either go the extra mile or find a way to co-operate with all the departments of the company you work for. So, you get two for number four. Whether you think it is noticed or not, everyone is aware of the people who go the extra mile at work. It displays a work ethic that is desirable in any line of work. Co-operating with other departments includes more than just the ones you work with everyday. If you consider what it takes other departments to accomplish their job, your chances of promotion will increase. An opening might become available in another department that would be a promotion for you. Your own promotion of productive relationships will help you get the nod.
Now for Number 3 Top Tip for Business Success. This is similar to the number 7 Top Tip but is much more defined. Find a mentor! There are organizations of retired professionals whose goal is to share what they have learned through all their years of experience. Chances are there will be someone who spent their lifetime in the same business you are in or want to start. Save your time and energy...take advantage of what someone else took years to learn. It's like starting where they left off.
The Number 2 Top Tip is simple but powerful. What ever is important to your boss, make that important to you. Don't be fooled that if you have your own business, you don't have a boss. A successful business owner knows well that the customer is the boss. Listen, and then put into practice what you hear is important to them. Many business people miss this because they are trying to reinvent the proverbial wheel. Try it; you will be convinced and prosperous.
And now for the Number 1 Top Tip for Business Success. This is listed as number one because it is what you need to do first. You must choose a business area that you are passionate about. Everyone can get bored when going through the motions of their job day after day. You can become a robot. If you sincerely answer this question and follow through on the answer, your odds of being a success is multiplied almost a hundred fold. What is it that when you do it, you lose track of time? That's it. What captures your attention so powerfully that you forget about everything else? The answer is what you should pursue.
You can build a business or become a part of any business you want. Make sure it's one you are passionate about. One caution...you might want to make sure your wrist watch has an alarm on it.
source : ezinearticles.com
Starting with Number 7 Top Tip for Business Success, do your homework. Get on the web or visit and interview people who are already successful in the type of business you have or are considering starting. You will be surprised at how generous like business people will be as long as you are not a direct threat to their territory.
The Number 6 Top Tip is pay attention. Pay attention to everything that goes on around you. Business associates and customers are giving off advice with their words and actions whether they are aware of it or not. Attentive people are more apt to gain specialized educations from their surroundings.
The Number 5 Top Tip for Business Success relates to how you relate to others. A little attention to people skills goes a long way. If there is an agitator in the workplace, they won't be there for long. Co-workers will complain and the boss will be forced to transfer the problem or eliminate it. It's easier to go with the flow and look for the good in your fellowman.
When choosing the Number 4 Top Tip it was a toss up. It was either go the extra mile or find a way to co-operate with all the departments of the company you work for. So, you get two for number four. Whether you think it is noticed or not, everyone is aware of the people who go the extra mile at work. It displays a work ethic that is desirable in any line of work. Co-operating with other departments includes more than just the ones you work with everyday. If you consider what it takes other departments to accomplish their job, your chances of promotion will increase. An opening might become available in another department that would be a promotion for you. Your own promotion of productive relationships will help you get the nod.
Now for Number 3 Top Tip for Business Success. This is similar to the number 7 Top Tip but is much more defined. Find a mentor! There are organizations of retired professionals whose goal is to share what they have learned through all their years of experience. Chances are there will be someone who spent their lifetime in the same business you are in or want to start. Save your time and energy...take advantage of what someone else took years to learn. It's like starting where they left off.
The Number 2 Top Tip is simple but powerful. What ever is important to your boss, make that important to you. Don't be fooled that if you have your own business, you don't have a boss. A successful business owner knows well that the customer is the boss. Listen, and then put into practice what you hear is important to them. Many business people miss this because they are trying to reinvent the proverbial wheel. Try it; you will be convinced and prosperous.
And now for the Number 1 Top Tip for Business Success. This is listed as number one because it is what you need to do first. You must choose a business area that you are passionate about. Everyone can get bored when going through the motions of their job day after day. You can become a robot. If you sincerely answer this question and follow through on the answer, your odds of being a success is multiplied almost a hundred fold. What is it that when you do it, you lose track of time? That's it. What captures your attention so powerfully that you forget about everything else? The answer is what you should pursue.
You can build a business or become a part of any business you want. Make sure it's one you are passionate about. One caution...you might want to make sure your wrist watch has an alarm on it.
source : ezinearticles.com
3 Tips For Business Card Graphic Design
Less than 10 percent of the business cards people receive are kept by potential customers. There are many reasons for this. One of them is the perception that the quality of the business card graphic design did not exceed their expectations of the service that would be provided to them.
Anyone can come up with a business card graphic design they personally like. They can print it out on their home printer with materials from the local office supply store. That's the easy part. The hard part is convincing the sales prospect you handed the card to that you are serious and professional with the design you like, but they don't. Some people specialize in building relationships and selling, others in the art of business card graphic design. Know which one you are. If you are not the designer, one of the best options is to look for a business card designer and printer on the Internet. A little known fact is most local printers send out the orders for high quality business cards to a wholesale printer. They are just the middle man, increasing your costs.
There are hundreds of printers on the Internet. Do a search on Google for instance for "realtor business cards" or "unique photo business cards" and you will get a gazillion links. Only a few of them are capable of meeting your expectations if you do not possess specialized skills in business card graphic design. Otherwise, you may be paying cheap, but you're not going to be getting excellent quality for the price you paid. At the end of the day the price you pay for the cards is less important than the lost sales from not having the best cards! Just to make sure that you can find the right business card designer to work with here are some of the best characteristics to look for:
Business Card Branding
The printer must be able to deliver the right kind of message. Your glossy business cards are not only meant to provide contact information. They can be used as the first piece of business branding materials, marketing collateral from your company, that the prospect sees. Business Card Genius is one printer that understands business cards and branding and will work with you to keep it all in sync. They are not the only one. Send me an email and I will give you a few more!
Creative Business Cards
The printer's designers should be creative. Creativity can go a long way, and your chosen business card designer must have a knack for artistry. A professional should be able to include logos, photos, and other graphics your business cards. The more eye catching the business card is, the more it will be kept by your client. You can browse through the printer's portfolio page for impressive samples in different categories like automotive, realty, mortgage, and retail. If they don't care enough to show you their graphic design work, you should consider that before you establish your printing relationship with them.
Good Value For The Price
The printer should be cost effective. Business card printing is not expensive nor is it reasonable to expect to get effectively free business cards to sell a product that costs thousands or hundreds of thousands of dollars. Business card graphic design is expensive. Designers with an eye for the business, the flair and creativity that goes into it, are not THAT common. From a business perspective, it costs more to staff the designer for a job than it does print the product. If you are paying under $100 for 1,000 business cards, you probably did NOT have a designer involved. In other words your cards are based on a template they give to everyone. There is no unique message customized to your business. You won't stand out. Your NOT in the 10% of cards that will be kept. I hope you close the sale on the spot!
The printer should never "save" you a few bucks by using reduced quality materials if your target sales prospect is an affluent buyer. It costs you sales. There are different types of papers that can be utilized by a business card graphic designer, including uncoated and coated stocks and various specialty treatments. The best companies make use of coated stocks for glossier as well as a more professional and impressive appearance. Moreover, their card stock is 16PT, which means they are very thick and will resist being bent out of shape better. They also stand out in the typical stack of 10PT and 12PT business cards. The sides of the business cards may also be coated to further increase the thickness.
If you spend $100 or $200 for a few thousand business cards, the cost of the card is pennies per sale. Invest in the very best business cards. If you are a realtor splitting an 8% commission on a $300,000 sale the marketing collateral costs are very minor. Same thing for other sales people targeted at the affluent buyer market.
Patrick lives and writes on a variety of topics in Connecticut. The principal behind Business Card Genius, an Internet Printer catering to sales professionals focused on affluent target markets, he is deeply involved on a day to day basis with technology and small business operations. He can be reached at pjc@businesscardgenius.com
source: www.ezinearticles.com
Anyone can come up with a business card graphic design they personally like. They can print it out on their home printer with materials from the local office supply store. That's the easy part. The hard part is convincing the sales prospect you handed the card to that you are serious and professional with the design you like, but they don't. Some people specialize in building relationships and selling, others in the art of business card graphic design. Know which one you are. If you are not the designer, one of the best options is to look for a business card designer and printer on the Internet. A little known fact is most local printers send out the orders for high quality business cards to a wholesale printer. They are just the middle man, increasing your costs.
There are hundreds of printers on the Internet. Do a search on Google for instance for "realtor business cards" or "unique photo business cards" and you will get a gazillion links. Only a few of them are capable of meeting your expectations if you do not possess specialized skills in business card graphic design. Otherwise, you may be paying cheap, but you're not going to be getting excellent quality for the price you paid. At the end of the day the price you pay for the cards is less important than the lost sales from not having the best cards! Just to make sure that you can find the right business card designer to work with here are some of the best characteristics to look for:
Business Card Branding
The printer must be able to deliver the right kind of message. Your glossy business cards are not only meant to provide contact information. They can be used as the first piece of business branding materials, marketing collateral from your company, that the prospect sees. Business Card Genius is one printer that understands business cards and branding and will work with you to keep it all in sync. They are not the only one. Send me an email and I will give you a few more!
Creative Business Cards
The printer's designers should be creative. Creativity can go a long way, and your chosen business card designer must have a knack for artistry. A professional should be able to include logos, photos, and other graphics your business cards. The more eye catching the business card is, the more it will be kept by your client. You can browse through the printer's portfolio page for impressive samples in different categories like automotive, realty, mortgage, and retail. If they don't care enough to show you their graphic design work, you should consider that before you establish your printing relationship with them.
Good Value For The Price
The printer should be cost effective. Business card printing is not expensive nor is it reasonable to expect to get effectively free business cards to sell a product that costs thousands or hundreds of thousands of dollars. Business card graphic design is expensive. Designers with an eye for the business, the flair and creativity that goes into it, are not THAT common. From a business perspective, it costs more to staff the designer for a job than it does print the product. If you are paying under $100 for 1,000 business cards, you probably did NOT have a designer involved. In other words your cards are based on a template they give to everyone. There is no unique message customized to your business. You won't stand out. Your NOT in the 10% of cards that will be kept. I hope you close the sale on the spot!
The printer should never "save" you a few bucks by using reduced quality materials if your target sales prospect is an affluent buyer. It costs you sales. There are different types of papers that can be utilized by a business card graphic designer, including uncoated and coated stocks and various specialty treatments. The best companies make use of coated stocks for glossier as well as a more professional and impressive appearance. Moreover, their card stock is 16PT, which means they are very thick and will resist being bent out of shape better. They also stand out in the typical stack of 10PT and 12PT business cards. The sides of the business cards may also be coated to further increase the thickness.
If you spend $100 or $200 for a few thousand business cards, the cost of the card is pennies per sale. Invest in the very best business cards. If you are a realtor splitting an 8% commission on a $300,000 sale the marketing collateral costs are very minor. Same thing for other sales people targeted at the affluent buyer market.
Patrick lives and writes on a variety of topics in Connecticut. The principal behind Business Card Genius, an Internet Printer catering to sales professionals focused on affluent target markets, he is deeply involved on a day to day basis with technology and small business operations. He can be reached at pjc@businesscardgenius.com
source: www.ezinearticles.com
Langganan:
Postingan (Atom)